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EN BANC governed by this Code, without prejudice to the provisions


of special laws."
[G.R. No. 97764. August 10, 1992.]
3. PROPERTY OF LOCAL GOVERNMENT DEVOTED TO PUBLIC
LEVY D. MACASIANO, Brigadier General/PNP SERVICE; DEEMED PUBLIC; UNDER THE ABSOLUTE
Superintendent, Metropolitan Traffic Command, CONTROL OF CONGRESS; LOCAL GOVERNMENTS HAVE NO
Petitioner, v. HONORABLE ROBERTO C. DIOKNO, AUTHORITY TO CONTROL OR REGULATE THEM UNLESS
Presiding Judge, Branch, 62, Regional Trial Court of SPECIFIC AUTHORITY IS VESTED UPON THEM BY
Makati, Metro Manila, MUNICIPALITY OF PARAAQUE, CONGRESS; AUTHORITY TO BE INTERPRETED ACCORDING
METRO MANILA, PALANYAG KILUSANG BAYAN FOR TO BASIC PRINCIPLES OF LAW; ART. 424 OF THE CIVIL
SERVICE, Respondents. CODE. Properties of the local government which are
devoted to public service are deemed public and are under
SYLLABUS the absolute control of Congress (Province of Zamboanga
del Norte v. City of Zamboanga, L-24440, March 28, 1968,
22 SCRA 1334). Hence, local governments have no
1. POLITICAL LAW; PUBLIC CORPORATION; MUNICIPAL authority whatsoever to control or regulate the use of public
ORDINANCE; RESOLVING ITS VALIDITY; LAWS IN FORCE properties unless specific authority is vested upon them by
AT ITS ENACTMENT CONTROL. In resolving the question Congress. One such example of this authority given by
of whether the disputed municipal ordinance authorizing the Congress to the local governments is the power to close
flea market on the public streets is valid, it is necessary to roads as provided in Section 10, Chapter II of the Local
examine the laws in force during the time the said Government Code, which states: "SEC. 10. Closure of
ordinance was enacted, namely, Batas Pambansa Blg. 337, roads. A local government unit may likewise, through its
otherwise known as Local Government Code, in connection head acting pursuant to a resolution of its sangguniang and
with established principles embodied in the Civil Code on in accordance with existing law and the provisions of this
property and settled jurisprudence on the matter. Code, close any barangay, municipal, city or provincial road,
street, alley, park or square. No such way or place or any
2. PROPERTY OF PROVINCES, CITIES, AND part thereof shall be closed without indemnifying any person
MUNICIPALITIES; CLASSIFICATION; PROPERTY FOR PUBLIC prejudiced thereby. A property thus withdrawn from public
USE. The property of provinces, cities and municipalities use may be used or conveyed for any purpose for which
is divided into property for public use and patrimonial other real property belonging to the local unit concerned
property (Art. 423, Civil Code). As to what consists of might be lawfully used or conveyed." However, the
property for public use, Article 424 of Civil Code states: aforestated legal provision which gives authority to local
"ART. 24. Property for public use, in the provinces, cities government units to close roads and other similar public
and municipalities, consists of the provincial roads, city places should be read and interpreted in accordance with
streets, the squares, fountains, public waters, promenades, basic principles already established by law. These basic
and public works for public service paid for by said principles have the effect of limiting such authority of the
provinces, cities or municipalities. "All other property province, city or municipality to close a public street or
possessed by any of them is patrimonial and shall be
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thoroughfare. Article 424 of the Civil Code lays down the CONSTITUTION AND THE LAWS. Verily, the powers of a
basic principle that properties of public dominion devoted to local government unit are not absolute. They are subject to
public use and made available to the public in general are limitations laid down by the Constitution and the laws such
outside the commerce of man and cannot be disposed of or as our Civil Code. Moreover, the exercise of such powers
leased by the local government unit to private persons. should be subservient to paramount considerations of health
and well-being of the members of the community.
4. ROADS AND STREETS ORDINARILY USED FOR
VEHICULAR TRAFFIC CONSIDERED PUBLIC PROPERTY; 7. LEGAL RIGHT OF GENERAL PUBLIC TO DEMAND THE
LOCAL GOVERNMENT HAS NO POWER TO USE IT FOR DEMOLITION OF ILLEGALLY CONSTRUCTED STALLS IN
ANOTHER PURPOSE OR TO DISPOSE OF OR LEASE IT TO PUBLIC ROADS AND STREETS. As what we have said in
PRIVATE PERSONS. However, those roads and streets the Dacanay case, the general public have a legal right to
which are available to the public in general and ordinarily demand the demolition of the illegally constructed stalls in
used for vehicular traffic are still considered public property public roads and streets and the officials of respondent
devoted to public use. In such case, the local government municipality have the corresponding duty arising from public
has no power to use it for another purpose or to dispose of office to clear the city streets and restore them to their
or lease it to private persons. specific public purpose.

5. PROPERTY WITHDRAWN FROM PUBLIC USE; BECOMES 8. BATAS PAMBANSA BLG. 337 (LOCAL GOVERNMENT
PATRIMONIAL PROPERTY OF THE LOCAL GOVERNMENT CODE); REPEALED BY R.A. NO. 7160 (LOCAL GOVERNMENT
UNIT; CAN BE OBJECT OF ORDINARY CONTRACT. When CODE OF 1991); SECTION 5(D) THEREOF. However, at
it is already withdrawn from public use, the property then this point, We find it worthy to note that Batas Pambansa
becomes patrimonial property of the local government unit Blg. 337, known as Local Government Code, has already
concerned (Article 422, Civil Code; Cebu Oxygen, etc. Et. been repealed by Republic Act No. 7160 known as Local
Al. v. Bercilles, Et Al., G.R. No. L-40474, August 29, 1975, Government Code of 1991 which took effect on January 1,
66 SCRA 481). It is only then that the respondent 1992. Section 5(d) of the new Code provides that rights and
municipality can "use or convey them for any purpose for obligations existing on the date of effectivity of the new
which other real property belonging to the local unit Code and arising out of contracts or any other source of
concerned might be lawfully used or conveyed" in prestation involving a local government unit shall be
accordance with the last sentence of Section 10, Chapter II governed by the original terms and conditions of the said
of Blg. 333, known as Local Government Code. Such contracts or the law in force at the time such rights were
withdrawn portion becomes patrimonial property which can vested.
be the object of an ordinary contract (Cebu Oxygen and
Acetylene Co., Inc. v. Bercilles, Et Al., G.R. No. L-40474, DECISION
August 29, 1975, 66 SCRA 481).
MEDIALDEA, J.:
6. POWERS OF LOCAL GOVERNMENT UNIT; NOT
This is a petition for certiorari under Rule 65 of the Rules of
ABSOLUTE; SUBJECT TO LIMITATION SET BY THE
Court seeking the annulment of the decision of the Regional
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Trial Court of Makati, Branch 62, which granted the writ of shall be closed once the reclaimed areas are developed and
preliminary injunction applied for by respondents donated by the Public Estate Authority.
Municipality of Paraaque and Palanyag Kilusang Bayan for On June 20, 1990, the municipal council of Paraaque
Service (Palanyag for brevity) against petitioner herein. issued a resolution authorizing Paraaque Mayor Walfrido N.
Ferrer to enter into contract with any service cooperative for
The antecedent facts are as follows: the establishment, operation, maintenance and
management of flea markets and/or vending areas.
On June 13, 1990, the respondent municipality passed
Ordinance No. 86, Series of 1990 which authorized the On August 8, 1990, respondent municipality and respondent
closure of J. Gabrielle, G.G. Cruz, Bayanihan, Lt. Garcia Palanyag, a service cooperative, entered into an agreement
Extension and Opena Streets located at Baclaran, whereby the latter shall operate, maintain and manage the
Paraaque, Metro Manila and the establishment of a flea flea market in the aforementioned streets with the
market thereon. The said ordinance was approved by the obligation to remit dues to the treasury of the municipal
municipal council pursuant to MCC Ordinance No. 2, Series government of Paraaque. Consequently, market stalls were
of 1979, authorizing and regulating the use of certain city put up by respondent Palanyag on the said streets.
and/or municipal streets, roads and open spaces within
Metropolitan Manila as sites for flea market and/or vending On September 13, 1990 petitioner Brig. Gen. Macasiano,
areas, under certain terms and conditions. PNP Superintendent of the Metropolitan Traffic Command,
ordered the destruction and confiscation of stalls along G.G.
On July 20, 1990, the Metropolitan Manila Authority Cruz and J. Gabrielle St. in Baclaran. These stalls were later
approved Ordinance No. 86, s. 1990 of the municipal council returned to respondent Palanyag.
of respondent municipality subject to the following
conditions:chanrob1es virtual 1aw library On October 16, 1990, petitioner Brig. General Macasiano
wrote a letter to respondent Palanyag giving the latter ten
1. That the aforenamed streets are not used for vehicular (10) days to discontinue the flea market; otherwise, the
traffic, and that the majority of the residents do not oppose market stalls shall be dismantled.
the establishment of the flea market/vending areas
thereon; Hence, on October 23, 1990, respondents municipality and
Palanyag filed with the trial court a joint petition for
2. That the 2-meter middle road to be used as flea prohibition and mandamus with damages and prayer for
market/vending area shall be marked distinctly, and that preliminary injunction, to which the petitioner filed his
the 2 meters on both sides of the road shall be used by memorandum/opposition to the issuance of the writ of
pedestrians; preliminary injunction.

3. That the time during which the vending area is to be On October 24, 1990, the trial court issued a temporary
used shall be clearly designated; restraining order to enjoin petitioner from enforcing his
letter-order of October 16, 1990 pending the hearing on the
4. That the use of the vending areas shall be temporary and
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motion for writ of preliminary injunction. duty under the Local Government Code to promote the
On December 17, 1990, the trial court issued an order general welfare of the residents of the municipality.
upholding the validity of Ordinance No. 86 s. 1990 of the In upholding the legality of the disputed ordinance, the trial
Municipality of Paraaque and enjoining petitioner Brig. court ruled:
Gen. Macasiano from enforcing his letter-order against
petitioner Palanyag. ". . . that Chapter II Section 10 of the Local Government
Code is a statutory grant of power given to local
Hence, this petition was filed by the petitioner thru the government units, the Municipality of Paraaque as such, is
Office of the Solicitor General alleging grave abuse of empowered under that law to close its roads, streets or
discretion tantamount to lack or excess of jurisdiction on alley subject to limitations stated therein (i.e. that it is in
the part of the trial judge in issuing the assailed order. accordance with existing laws and the provisions of this
code).
The sole issue to be resolved in this case is whether or not
an ordinance or resolution issued by the municipal council of x x x
Paraaque authorizing the lease and use of public streets or
thoroughfares as sites for flea markets is valid. "The actuation of the respondent Brig. Gen. Levi Macasiano,
though apparently within its power is in fact an
The Solicitor General, in behalf of petitioner, contends that encroachment of power legally vested to the municipality,
municipal roads are used for public service and are precisely because when the municipality enacted the
therefore public properties; that as such, they cannot be ordinance in question the authority of the respondent as
subject to private appropriation or private contract by any Police Superintendent ceases to be operative on the ground
person, even by the respondent Municipality of Paraaque. that the streets covered by the ordinance ceases to be a
Petitioner submits that a property already dedicated to public thoroughfare." (pp. 33-34, Rollo)
public use cannot be used for another public purpose and
that absent a clear showing that the Municipality of We find the petition meritorious. In resolving the question
Paraaque has been granted by the legislature a specific of whether the disputed municipal ordinance authorizing the
authority to convert a property already in public use to flea market on the public streets is valid, it is necessary to
another public use, respondent municipality is, therefore, examine the laws in force during the time the said
bereft of any authority to close municipal roads for the ordinance was enacted, namely, Batas Pambansa Blg. 337,
establishment of a flea market. Petitioner also submits that otherwise known as Local Government Code, in connection
assuming that the respondent municipality is authorized to with established principles embodied in the Civil Code on
close streets, it failed to comply with the conditions set forth property and settled jurisprudence on the matter.
by the Metropolitan Manila Authority for the approval of the
ordinance providing for the establishment of flea markets on The property of provinces, cities and municipalities is
public streets. Lastly, petitioner contends that by allowing divided into property for public use and patrimonial property
the municipal streets to be used by market vendors, the (Art. 423, Civil Code). As to what consists of property for
municipal council of respondent municipality violated its public use, Article 424 of Civil Code states:
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"ART. 424. Property for public use, in the provinces, cities


and municipalities, consists of the provincial roads, city However, the aforestated legal provision which gives
streets, the squares, fountains, public waters, promenades, authority to local government units to close roads and other
and public works for public service paid for by said similar public places should be read and interpreted in
provinces, cities or municipalities. accordance with basic principles already established by law.
These basic principles have the effect of limiting such
"All other property possessed by any of them is patrimonial authority of the province, city or municipality to close a
and shall be governed by this Code, without prejudice to the public street or thoroughfare. Article 424 of the Civil Code
provisions of special laws."cralaw virtua1aw library lays down the basic principle that properties of public
dominion devoted to public use and made available to the
Based on the foregoing, J. Gabrielle G.G. Cruz, Bayanihan, public in general are outside the commerce of man and
Lt. Gacia Extension and Opena streets are local roads used cannot be disposed of or leased by the local government
for public service and are therefore considered public unit to private persons. Aside from the requirement of due
properties of respondent municipality. Properties of the local process which should be complied with before closing a
government which are devoted to public service are deemed road, street or park, the closure should be for the sole
public and are under the absolute control of Congress purpose of withdrawing the road or other public property
(Province of Zamboanga del Norte v. City of Zamboanga, L- from public use when circumstances show that such
24440, March 28, 1968, 22 SCRA 1334). Hence, local property is no longer intended or necessary for public use or
governments have no authority whatsoever to control or public service. When it is already withdrawn from public
regulate the use of public properties unless specific use, the property then becomes patrimonial property of the
authority is vested upon them by Congress. One such local government unit concerned (Article 422, Civil Code;
example of this authority given by Congress to the local Cebu Oxygen, etc. Et. Al. v. Bercilles, Et Al., G.R. No. L-
governments is the power to close roads as provided in 40474, August 29, 1975, 66 SCRA 481). It is only then that
Section 10, Chapter II of the Local Government Code, which the respondent municipality can "use or convey them for
states:chanrobles.com.ph : virtual law library any purpose for which other real property belonging to the
local unit concerned might be lawfully used or conveyed" in
"SEC. 10. Closure of roads. A local government unit may accordance with the last sentence of Section 10, Chapter II
likewise, through its head acting pursuant to a resolution of of Blg. 333, known as Local Government Code. In one case,
its sangguniang and in accordance with existing law and the the City Council of Cebu, through a resolution, declared the
provisions of this Code, close any barangay, municipal, city terminal road of M. Borces Street, Mabolo, Cebu City as an
or provincial road, street, alley, park or square. No such abandoned road, the same not being included in the City
way or place or any part thereof shall be closed without Development Plan. Thereafter, the City Council passed
indemnifying any person prejudiced thereby. A property another resolution authorizing the sale of the said
thus withdrawn from public use may be used or conveyed abandoned road through public bidding. We held therein
for any purpose for which other real property belonging to that the City of Cebu is empowered to close a city street
the local unit concerned might be lawfully used or and to vacate or withdraw the same from public use. Such
conveyed." (Emphasis ours) withdrawn portion becomes patrimonial property which can
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be the object of an ordinary contract (Cebu Oxygen and


Acetylene Co., Inc. v. Bercilles, Et Al., G.R. No. L-40474, "The Executive Order issued by acting Mayor Robles
August 29, 1975, 66 SCRA 481). However, those roads and authorizing the use of Heroes del 96 Street as a vending
streets which are available to the public in general and area for stallholders who were granted licenses by the city
ordinarily used for vehicular traffic are still considered public government contravenes the general law that reserves city
property devoted to public use. In such case, the local streets and roads for public use. Mayor Robles Executive
government has no power to use it for another purpose or Order may not infringe upon the vested right of the public
to dispose of or lease it to private persons. This limitation to use city streets for the purpose they were intended to
on the authority of the local government over public serve: i.e., as arteries of travel for vehicles and
properties has been discussed and settled by this Court en pedestrians."
banc in "Francisco v. Dacanay, petitioner v. Mayor Macario
Asistio, Jr., Et Al.,Respondents., G.R. No. 93654, May 6, Even assuming, in gratia argumenti, that respondent
1992." This Court ruled: municipality has the authority to pass the disputed
ordinance, the same cannot be validly implemented because
"There is no doubt that the disputed areas from which the it cannot be considered approved by the Metropolitan Manila
private respondents market stalls are sought to be evicted Authority due to non-compliance by respondent municipality
are public streets, as found by the trial court in Civil Case of the conditions imposed by the former for the approval of
No. C-12921. A public street is property for public use the ordinance, to wit:
hence outside the commerce of man (Arts. 420, 424, Civil
Code). Being outside the commerce of man, it may not be 1. That the aforenamed streets are not used for vehicular
the subject of lease or other contract (Villanueva, Et. Al. v. traffic, and that the majority of the residents do(es) not
Castaeda and Macalino, 15 SCRA 142 citing the oppose the establishment of the flea market/vending areas
Municipality of Cavite v. Rojas, 30 SCRA 602; Espiritu v. thereon;
Municipal Council of Pozorrubio, 102 Phil. 869; and Muyot v.
De la Fuente, 48 O.G. 4860). 2. That the 2-meter middle road to be used as flea
market/vending area shall be marked distinctly, and that
"As the stallholders pay fees to the City Government for the the 2 meters on both sides of the road shall be used by
right to occupy portions of the public street, the City pedestrians;
Government, contrary to law, has been leasing portions of
the streets to them. Such leases or licenses are null and 3. That the time during which the vending area is to be
void for being contrary to law. The right of the public to use used shall be clearly designated;
the city streets may not be bargained away through
contract. The interests of a few should not prevail over the 4. That the use of the vending areas shall be temporary and
good of the greater number in the community whose health, shall be closed once the reclaimed areas are developed and
peace, safety, good order and general welfare, the donated by the Public Estate Authority. (p. 38, Rollo)
respondent city officials are under legal obligation to
protect. Respondent municipality has not shown any iota of proof
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that it has complied with the foregoing conditions precedent disrupted and school children have to get off at a distance
to the approval of the ordinance. The allegations of still far from their schools and walk, rain or shine.
respondent municipality that the closed streets were not
used for vehicular traffic and that the majority of the "Indeed one can only imagine the garbage and litter left by
residents do not oppose the establishment of a flea market vendors on the streets at the end of the day. Needless to
on said streets are unsupported by any evidence that will say, these cause further pollution, sickness and
show that this first condition has been met. Likewise, the deterioration of health of the residents therein." (pp. 21-22,
designation by respondents of a time schedule during which Rollo)
the flea market shall operate is absent. Respondents do not refute the truth of the foregoing
findings and observations of petitioners. Instead,
Further, it is of public notice that the streets along Baclaran respondents want this Court to focus its attention solely on
area are congested with people, houses and traffic brought the argument that the use of public spaces for the
about by the proliferation of vendors occupying the streets. establishment of a flea market is well within the powers
To license and allow the establishment of a flea market granted by law to a local government which should not be
along J. Gabrielle, G.G. Cruz, Bayanihan, Lt. Garcia interfered with by the courts.
Extension and Opena streets in Baclaran would not help in
solving the problem of congestion. We take note of the Verily, the powers of a local government unit are not
other observations of the Solicitor General when he said: absolute. They are subject to limitations laid down by the
Constitution and the laws such as our Civil Code. Moreover,
". . . . There have been many instances of emergencies and the exercise of such powers should be subservient to
fires where ambulances and fire engines, instead of using paramount considerations of health and well-being of the
the roads for a more direct access to the fire area, have to members of the community. Every local government unit
maneuver and look for other streets which are not occupied has the sworn obligation to enact measures that will
by stalls and vendors thereby losing valuable time which enhance the public health, safety and convenience, maintain
could, otherwise, have been spent in saving properties and peace and order, and promote the general prosperity of the
lives. inhabitants of the local units. Based on this objective, the
local government should refrain from acting towards that
"Along G.G. Cruz Street is a hospital, the St. Rita Hospital. which might prejudice or adversely affect the general
However, its ambulances and the people rushing their welfare.
patients to the hospital cannot pass through G.G. Cruz
because of the stalls and the vendors. Once can only As what we have said in the Dacanay case, the general
imagine the tragedy of losing a life just because of a few public have a legal right to demand the demolition of the
seconds delay brought about by the inaccessibility of the illegally constructed stalls in public roads and streets and
streets leading to the hospital. the officials of respondent municipality have the
corresponding duty arising from public office to clear the
"The children, too, suffer. In view of the occupancy of the city streets and restore them to their specific public
roads by stalls and vendors, normal transportation flow is purpose.
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The instant case as well as the Dacanay case, involves an


ordinance which is void and illegal for lack of basis and
authority in laws applicable during its time. However, at this
point, We find it worthy to note that Batas Pambansa Blg.
337, known as Local Government Code, has already been
repealed by Republic Act No. 7160 known as Local
Government Code of 1991 which took effect on January 1,
1992. Section 5(d) of the new Code provides that rights and
obligations existing on the date of effectivity of the new
Code and arising out of contracts or any other source of
prestation involving a local government unit shall be
governed by the original terms and conditions of the said
contracts or the law in force at the time such rights were
vested.

ACCORDINGLY, the petition is GRANTED and the decision of


the respondent Regional Trial Court dated December 17,
1990 which granted the writ of preliminary injunction
enjoining petitioner as PNP Superintendent, Metropolitan
Traffic Command from enforcing the demolition of market
stalls along J. Gabrielle, G.G. Cruz, Bayanihan, Lt. Garcia
Extension and Opena streets is hereby REVERSED and SET
ASIDE.

SO ORDERED.
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THIRD DIVISION The Court is asked in this instance to resolve the issue of
whether under the present set up the power of the Land
[G.R. No. 131512. January 20, 2000.] Registration Office ("LTO") to register, tricycles in particular,
as well as to issue licenses for the driving thereof, has
LAND TRANSPORTATION OFFICE [LTO], represented likewise devolved to local government units.
by Assistant Secretary Manuel F. Bruan, LTO Regional
Office, Region X represented by its Regional Director, The Regional Trial Court (Branch 2) of Butuan City held:
Timoteo A. Garcia; and LTO Butuan represented by that the authority to register tricycles, the grant of the
Rosita G. Sadiaga, its Registrar, Petitioners, v. CITY corresponding franchise, the issuance of tricycle drivers
OF BUTUAN, represented in this case by Democrito D. license, and the collection of fees therefor had all been
Plaza II, City Mayor, Respondents. vested in the Local Government Units ("LGUs"). Accordingly,
it decreed the issuance of a permanent writ of injunction
DECISION against LTO, prohibiting and enjoining LTO, as well as its
employees and other persons acting in its behalf, from (a)
VITUG, J.: registering tricycles and (b) issuing licenses to drivers of
tricycles. The Court of Appeals, on appeal to it, sustained
The 1987 Constitution enunciates the policy that the the trial court.
territorial and political subdivisions shall enjoy local
autonomy. In obedience to that, mandate of the The adverse rulings of both the court a quo and the
fundamental law, Republic Act ("R.A.") No.7160, otherwise appellate court prompted the LTO to file the instant petition
known as the Local Government Code, expresses that the for review on certiorari to annul and set aside the decision,
territorial and political subdivisions of the State shall enjoy dated 17 November 1997, of the Court of Appeals affirming
genuine and meaningful local autonomy in order to enable the permanent injunctive writ order of the Regional Trial
them to attain their fullest development as self-reliant Court (Branch 2) of Butuan City.
communities and make them more effective partners in the
attainment of national goals, and that it is a basic aim of the Respondent City of Butuan asserts that one of the salient
State to provide for a more responsive and accountable provisions introduced by the Local Government Code is in
local government structure instituted through a system of the area of local taxation which allows LGUs to collect
decentralization whereby local government units shall be registration fees or charges along with, in its view, the
given more powers, authority, responsibilities and corresponding issuance of all kinds of licenses or permits for
resources. the driving of tricycles.
While the Constitution seeks to strengthen local units and
The 1987 Constitution provides:
ensure their viability, clearly, however, it has never been
the intention of that organic law to create an imperium in
"Each local government unit shall have the power to create
imperio and install an intra sovereign political subdivision
its own sources of revenues and to levy taxes, fees, and
independent of a single sovereign state.
charges subject to such guidelines and limitations as the
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Congress may provide, consistent with the basic policy of of a permit for the driving thereof.
local autonomy. Such taxes, fees, and charges shall accrue
exclusively to the local governments." Petitioner LTO explains that one of the functions of the
national government that, indeed, has been transferred to
Section 129 and Section 133 of the Local Government Code local government units is the franchising authority over
read: tricycles-for-hire of the Land Transportation Franchising and
Regulatory Board ("LTFRB") but not, it asseverates, the
"SECTION 129. Power to Create Sources of Revenue. authority of LTO to register all motor vehicles and to issue
Each local government unit shall exercise its power to to qualified persons of licenses to drive such vehicles.
create its own sources of revenue and to levy taxes, fees,
and charges subject to the provisions herein, consistent In order to settle the variant positions of the parties, the
with the basic policy of local autonomy. Such taxes, fees, City of Butuan, represented by its City Mayor Democrito D.
and charges shall accrue exclusively to the local Plaza, filed on 28 June 1994 with the trial court a petition
government units."cralaw virtua1aw library for "prohibition, mandamus, injunction with a prayer for
preliminary restraining order ex-parte" seeking the
"SECTION 133. Common Limitations on the Taxing Powers declaration of the validity of SP Ordinance No.962-93 and
of Local Government Units. Unless otherwise provided the prohibition of the registration of tricycles-for-hire and
herein, the exercise of the taxing powers of provinces, the issuance of licenses for the driving thereof by the LTO.
cities, municipalities, and barangays shall not extend to the
levy of the following: LTO opposed the prayer in the petition.

"x x x. On 20 March 1995, the trial court rendered a resolution; the


dispositive portion read:
"(I) Taxes, fees or charges for the registration of motor
vehicles and for the issuance of all kinds of licenses or "In view of the foregoing, let a permanent injunctive writ be
permits for the driving thereof, except tricycles." issued against the respondent Land Transportation Office
and the other respondents, prohibiting and enjoining them,
their employees, officers, attorneys or other persons acting
Relying on the foregoing provisions of the law, the in their behalf from forcing or compelling Tricycles to be
Sangguniang Panlungsod ("SP") of Butuan, on 16 August registered with, and drivers to secure their licenses from
1992, passed SP Ordinance No.916-92 entitled "An respondent LTO or secure franchise from LTFRB and from
Ordinance Regulating the Operation of Tricycles-for-Hire, collecting fees thereon. It should be understood that the
providing mechanism for the issuance of Franchise, registration, franchise of tricycles and drivers
Registration and Permit, and Imposing Penalties for license/permit granted or issued by the City of Butuan are
Violations thereof and for other Purposes." The ordinance valid only within the territorial limits of Butuan City.
provided for, among other things, the payment of franchise
fees for the grant of the franchise of tricycles-for-hire, fees "No pronouncement as to costs."
for the registration of the vehicle, and fees for the issuance
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Petitioners timely moved for a reconsideration of the above regulatory responsibilities had been vested in the LTFRB.
resolution but it was to no avail. Petitioners then appealed Under the Local Government Code, certain functions of the
to the Court of Appeals. In its now assailed decision, the DOTC were transferred to the LGUs, thusly:
appellate court, on 17 November 1997, sustained the trial
court. It ruled: "SECTION 458. Powers, Duties, Functions and
Compensation.
"WHEREFORE, the petition is hereby DISMISSED and the
questioned permanent injunctive writ issued by the court a "x x x
quo dated March 20, 1995 AFFIRMED."
"(3) Subject to the provisions of Book II of this Code, enact
Coming up to this Court, petitioners raise this sole ordinances granting franchises and authorizing the issuance
assignment of error, to wit: of permits or licenses, upon such conditions and for such
purposes intended to promote the general welfare of the
"The Court of Appeals [has] erred in sustaining the validity inhabitants of the city and pursuant to this legislative
of the writ of injunction issued by the trial court which authority shall:
enjoined LTO from (1) registering tricycles-for-hire and (2)
issuing licenses for the driving thereof since the Local "x x x.
Government Code devolved only the franchising authority of
the LTFRB. Functions of the LTO were not devolved to the "(VI) Subject to the guidelines prescribed by the
LGUs." Department of Transportation and Communications,
regulate the operation of tricycles and grant franchises for
The petition is impressed with merit. the operation thereof within the territorial jurisdiction of the
city." (Emphasis supplied)
The Department of Transportation and Communications
("DOTC"), through the LTO and the LTFRB, has since been LGUs indubitably now have the power to regulate the
tasked with implementing laws pertaining to land operation of tricycles-for-hire and to grant franchises for the
transportation. The LTO is a line agency under the DOTC operation thereof. "To regulate" means to fix, establish, or
whose powers and functions, pursuant to Article III, Section control; to adjust by rule, method, or established mode; to
4 (d) (1), 10 of R.A. No.4136, otherwise known as Land direct by rule or restriction; or to subject to governing
Transportation and Traffic Code, as amended, deal primarily principles or laws. A franchise is defined to be a special
with the registration of all motor vehicles and the licensing privilege to do certain things conferred by government on
of drivers thereof. The LTFRB, upon the other hand, is the an individual or corporation, and which does not belong to
governing body tasked by E.O. No. 202, dated 19 June citizens generally of common right. On the other hand, "to
1987, to regulate the operation of public utility or "for hire" register" means to record formally and exactly, to enroll, or
vehicles and to grant franchises or certificates of public to enter precisely in a list or the like, and a "drivers license"
convenience ("CPC"). Finely put, registration and licensing is the certificate or license issued by the government which
functions are vested in the LTO while franchising and authorizes a person to operate a motor vehicle. The
LOCAL GOVERNEMNT CODE 12
Basic Services and Facilities; S.17

devolution of the functions of the DOTC, performed by the the SB/SP may provide exceptions if there is no alternative
LTFRB, to the LGUs, as so aptly observed by the Solicitor routs.
General, is aimed at curbing the alarming increase of
accidents in national highways involving tricycles. It has "2. Zones must be within the boundaries of the
been the perception that local governments are in good municipality/city. However, existing zones within more than
position to achieve the end desired by the law-making body one municipality/city shall be maintained, provided that
because of their proximity to the situation that can enable operators serving said zone shall secure MTOPs from each
them to address that serious concern better than the of the municipalities/cities having jurisdiction over the areas
national government. covered by the zone.

It may not be amiss to state, nevertheless, that under "3. A common color for tricycles-for-hire operating in the
Article 458 (a)[3-VI] of the Local Government Code, the same zone may be imposed. Each unit shall be assigned
power of LGUs to regulate the operation of tricycles and to and bear an identification number, aside from its LTO
grant franchises for the operation thereof is still subject to license plate number.
the guidelines prescribed by the DOTC. In compliance
therewith, the Department of Transportation and "4. An operator wishing to stop service completely, or to
Communications ("DOTC") issued "Guidelines to Implement suspend service for more than one month, should report in
the Devolution of LTFRBs Franchising Authority over writing such termination or suspension to the SB/SP which
Tricycles-For-Hire to Local Government units pursuant to originally granted the MTOP prior thereto. Transfer to
the Local Government Code." Pertinent provisions of the another zone may be permitted upon application.
guidelines state:
"5. The MTOP shall be valid for three (3) years, renewable
"In lieu of the Land Transportation Franchising and for the same period. Transfer to another zone, change of
Regulatory Board (LTFRB) in the DOTC, the Sangguniang ownership of unit or transfer of MTOP shall be construed as
Bayan/Sangguniang Panlungsod (SB/SP) shall perform the an amendment to an MTOP and shall require appropriate
following: approval of the SB/SP.

"(a) Issue, amend, revise, renew, suspend, or cancel MTOP "6. Operators shall employ only drivers duly licensed by LTO
and prescribe the appropriate terms and conditions for tricycles-for-hire.
therefor;
"7. No tricycle-for-hire shall be allowed to carry more
"x x x. passengers and/or goods than it is designed for.

"Operating Conditions: "8. A tricycle-for-hire shall be allowed to operate like a taxi


"1. For safety reasons, no tricycles should operate on service, i.e., service is rendered upon demand and without
national highways utilized by 4 wheel vehicles greater than a fixed route within a zone."
4 tons and where normal speed exceed 40 KPH. However,
Such as can be gleaned from the explicit language of the
LOCAL GOVERNEMNT CODE 13
Basic Services and Facilities; S.17

statute, as well as the corresponding guidelines issued by difficult.


DOTC, the newly delegated powers pertain to the
franchising and regulatory powers theretofore exercised by "Fake drivers licenses will likewise proliferate. This likely
the LTFRB and not to the functions of the LTO relative to the scenario unfolds where a tricycle driver, not qualified by
registration of motor vehicles and issuance of licenses for petitioner LTOs testing, could secure a license from one
the driving thereof . Clearly unaffected by the Local municipality, and when the same is confiscated, could just
Government Code are the powers of LTO under R.A. go another municipality to secure another license.
No.4136 requiring the registration of all kinds of motor
vehicles "used or operated on or upon any public highway" "Devolution will entail the hiring of additional personnel
in the country. Thus charged with inspecting tricycles for road worthiness,
testing drivers, and documentation. Revenues raised from
"SECTION 5. All motor vehicles and other vehicles must be tricycle registration may not be enough to meet salaries of
registered. (a) No motor vehicle shall be used or additional personnel and incidental costs for tools and
operated on or upon any public highway of the Philippines equipment."
unless the same is properly registered for the current year
in accordance with the provisions of this Act (Article 1, The reliance made by respondents on the broad taxing
Chapter II, R.A. No. 4136). power of local government units, specifically under Section
133 of the Local Government Code, is tangential. Police
The Commissioner of Land Transportation and his deputies power and taxation, along with eminent domain, are
are empowered at anytime to examine and inspect such inherent powers of sovereignty which the State might share
motor vehicles to determine whether said vehicles are with local government units by delegation given under a
registered, or are unsightly, unsafe, improperly marked or constitutional or a statutory fiat. All these inherent powers
equipped, or otherwise unfit to be operated on because of are for a public purpose and legislative in nature but the
possible excessive damage to highways, bridges and other similarities just about end there. The basic aim of police
infrastructures. The LTO is additionally charged with being power is public good and welfare. Taxation, in its case,
the central repository and custodian of all records of all focuses on the power of government to raise revenue in
motor vehicles. order to support its existence and carry out its legitimate
objectives. Although correlative to each other in many
The Court shares the apprehension of the Solicitor General respects, the grant of one does not necessarily carry with it
if the above functions were to likewise devolve to local the grant of the other. The two powers are, by tradition and
government units; he states: jurisprudence, separate and distinct powers, varying in their
respective concepts, character, scopes and limitations. To
"If the tricycle registration function of respondent LTO is construe the tax provisions of Section 133(1) indistinctively
decentralized, the incidence of theft of tricycles will most would result in the repeal to that extent of LTOs regulatory
certainly go up, and stolen tricycles registered in one local power which evidently has not been intended. If it were
government could be registered in another with ease. The otherwise, the law could have just said so in Section 447
determination of ownership thereof will also become very and 458 of Book III of the Local Government Code in the
LOCAL GOVERNEMNT CODE 14
Basic Services and Facilities; S.17

same manner that the specific devolution of LTFRBs power prohibiting the operation of tricycles along or across
on franchising of tricycles has been provided. Repeal by highways invite collisions with faster and bigger vehicles
implication is not favored. The power over tricycles granted and impede the flow of traffic."
under Section 458(a)(3)(VI) of the Local Government Code
to LGUs is the power to regulate their operation and to The need for ensuring public safety and convenience to
grant franchises for the operation thereof. The exclusionary commuters and pedestrians alike is paramount. It might be
clause contained in the tax provisions of Section 133(1) of well, indeed, for public officials concerned to pay heed to a
the Local Government Code must not be held to have had number of provisions in our laws that can warrant in
the effect of withdrawing the express power of LTO to cause appropriate cases an incurrence of criminal and civil
the registration of all motor vehicles and the issuance of liabilities. Thus
licenses for the driving thereof. These functions of the LTO
are essentially regulatory in nature, exercised pursuant to The Revised Penal Code
the police power of the State, whose basic objectives are to
achieve road safety by insuring the road worthiness of these "ARTICLE 208. Prosecution of offenses; negligence and
motor vehicles and the competence of drivers prescribed by tolerance. The penalty of prision correccional in its
R. A. 4136. Not insignificant is the rule that a statute must minimum period and suspension shall be imposed upon any
not be construed in isolation but must be taken in harmony public officer, or officer of the law, who, in dereliction of the
with the extant body of laws. duties of his office, shall maliciously refrain from instituting
prosecution for the punishment of violators of the law, or
The Court cannot end this decision without expressing its shall tolerate the commission of offenses."
own serious concern over the seeming laxity in the grant of
franchises for the operation of tricycles-for-hire and in The Civil Code
allowing the indiscriminate use by such vehicles on public
highways and principal thoroughfares. Senator Aquilino C. "ARTICLE 27. Any person suffering material or moral loss
Pimentel, Jr., the principal author, and sponsor of the bill because a public servant or employee refuses or neglects,
that eventually has become to be known as the Local without just cause, to perform his official duty may file an
Government Code, has aptly remarked: action for damages and other relief against the latter,
without prejudice to any disciplinary administrative action
"Tricycles are a popular means of transportation, specially in that may be taken."cralaw virtua1aw library
the countryside. They are, unfortunately, being allowed to
drive along highways and principal thoroughfares where "ARTICLE 34. When a member of a city or municipal police
they pose hazards to their passengers arising from potential force refuses or fails to render aid or protection to any
collisions with buses, cars and jeepneys. person in case of danger to life or property, such peace
officer shall be primarily liable for damages, and the city or
"The operation of tricycles within a municipality may be municipality shall be subsidiarily responsible therefor. The
regulated by the Sangguniang Bayan. In this connection, civil action herein recognized shall be independent of any
the Sangguniang concerned would do well to consider criminal, proceedings, and a preponderance of evidence
shall suffice to support such action."
LOCAL GOVERNEMNT CODE 15
Basic Services and Facilities; S.17

"ARTICLE 2189. Provinces, cities and municipalities shall be


liable for damages for the death of, or injuries suffered by,
any person by reason of the defective condition of roads,
streets, bridges, public buildings, and other public works
under their control or supervision."

The Local Government Code

"SECTION 24. Liability for Damages. Local government


units and their officials are not exempt from liability for
death or injury to persons or damage to property."

WHEREFORE, the assailed decision which enjoins the Land


Transportation Office from requiring the due registration of
tricycles and a license for the driving thereof is REVERSED
and SET ASIDE.

No pronouncements on costs.

Let copies of this decision be likewise furnished the


Department of Interior and Local Governments, the
Department of Public Works and Highways and the
Department of Transportation and Communication.

SO ORDERED.
LOCAL GOVERNEMNT CODE 16
Basic Services and Facilities; S.17

EN BANC Jaena and Bonifacio in Misamis Occidental, the Caraga


[G.R. NO. 195770 - July 17, 2012] Region; and the cities of Pasay and Caloocan3 upon the
release of the amount of P50 Million Pesos under a Special
AQUILINO Q. PIMENTEL, JR., SERGIO TADEO and Allotment Release Order (SARO) issued by the Department
NELSON ALCANTARA, Petitioners, v. EXECUTIVE of Budget and Management.
SECRETARY PAQUITO N. OCHOA and SECRETARY
CORAZON JULIANO-SOLIMAN OF THE DEPARTMENT On July 16, 2008, the DSWD issued Administrative Order
OF SOCIAL WELFARE and DEVELOPMENT No. 16, series of 2008 (A.O. No. 16, s. 2008),5setting the
(DSWD), Respondents. implementing guidelines for the project renamed "Pantawid
Pamilyang Pilipino Program" (4Ps), upon the following
DECISION stated objectives, to wit:

PERLAS-BERNABE, J.: 1. To improve preventive health care of pregnant women


and young children
The Case 2. To increase enrollment/attendance of children at
elementary level
For the Courts consideration in this Petition 3. To reduce incidence of child labor
for Certiorari and Prohibition is the constitutionality of 4. To raise consumption of poor households on nutrient
certain provisions of Republic Act No. 10147 or the General dense foods
Appropriations Act (GAA) of 20111 which provides a P21 5. To encourage parents to invest in their children's (and
Billion budget allocation for the Conditional Cash Transfer their own) future
Program (CCTP) headed by the Department of Social 6. To encourage parent's participation in the growth and
Welfare & Development (DSWD). Petitioners seek to enjoin development of young children, as well as involvement in
respondents Executive Secretary Paquito N. Ochoa and the community.6
DSWD Secretary Corazon Juliano-Soliman from
implementing the said program on the ground that it This government intervention scheme, also conveniently
amounts to a "recentralization" of government functions referred to as CCTP, "provides cash grant to extreme poor
that have already been devolved from the national households to allow the members of the families to meet
government to the local government units. certain human development goals."

The Facts Eligible households that are selected from priority target
areas consisting of the poorest provinces classified by the
In 2007, the DSWD embarked on a poverty reduction National Statistical Coordination Board (NCSB)8 are granted
strategy with the poorest of the poor as target a health assistance of P500.00/month, or P6,000.00/year,
beneficiaries.2 Dubbed "Ahon Pamilyang Pilipino," it was and an educational assistance of P300.00/month for 10
pre-pilot tested in the municipalities of Sibagat and months, or a total of P3,000.00/year, for each child but up
Esperanza in Agusan del Sur; the municipalities of Lopez to a maximum of three children per family.9 Thus, after an
LOCAL GOVERNEMNT CODE 17
Basic Services and Facilities; S.17

assessment on the appropriate assistance package, a c. Coordinate the implementation/operationalization of


household beneficiary could receive from the government sectoral activities at the City/Municipal level to better
an annual subsidy for its basic needs up to an amount of execute Program objectives and functions
P15,000.00, under the following conditionalities: d. Coordinate with various concerned government agencies
at the local level, sectoral representatives and NGO to
a) Pregnant women must get pre natal care starting from ensure effective Program implementation
the 1st trimester, child birth is attended by skilled/trained e. Prepare reports on issues and concerns regarding
professional, get post natal care thereafter Program implementation and submit to the Regional
b) Parents/guardians must attend family planning Advisory Committee, and
sessions/mother's class, Parent Effectiveness Service and f. Hold monthly committee meetings11
others
c) Children 0-5 years of age get regular preventive health A Memorandum of Agreement (MOA)12 executed by the
check-ups and vaccines DSWD with each participating LGU outlines in detail the
d) Children 3-5 years old must attend day care obligation of both parties during the intended five-year
program/pre-school implementation of the CCTP.
e) Children 6-14 years of age are enrolled in schools and
attend at least 85% of the time10 Congress, for its part, sought to ensure the success of the
CCTP by providing it with funding under the GAA of 2008 in
Under A.O. No. 16, s. 2008, the DSWD also institutionalized the amount of Two Hundred Ninety-Eight Million Five
a coordinated inter-agency network among the Department Hundred Fifty Thousand Pesos (P298,550,000.00). This
of Education (DepEd), Department of Health (DOH), budget allocation increased tremendously to P5 Billion Pesos
Department of Interior and Local Government (DILG), the in 2009, with the amount doubling to P10 Billion Pesos in
National Anti-Poverty Commission (NAPC) and the local 2010. But the biggest allotment given to the CCTP was in
government units (LGUs), identifying specific roles and the GAA of 2011 at Twenty One Billion One Hundred Ninety-
functions in order to ensure effective and efficient Four Million One Hundred Seventeen Thousand Pesos
implementation of the CCTP. As the DSWD takes on the role (P21,194,117,000.00).13
of lead implementing agency that must "oversee and
coordinate the implementation, monitoring and evaluation Petitioner Aquilino Pimentel, Jr., a former Senator, joined by
of the program," the concerned LGU as partner agency is Sergio Tadeo, incumbent President of the Association of
particularly tasked to: Barangay Captains of Cabanatuan City, Nueva Ecija, and
Nelson Alcantara, incumbent Barangay Captain of Barangay
A. Ensure availability of the supply side on health and Sta. Monica, Quezon City, challenges before the Court the
education in the target areas. disbursement of public funds and the implementation of the
b. Provide necessary technical assistance for Program CCTP which are alleged to have encroached into the local
implementation autonomy of the LGUs.
LOCAL GOVERNEMNT CODE 18
Basic Services and Facilities; S.17

The Issue full article on the subject of local governance15 which


includes the following pertinent provisions:
THE P21 BILLION CCTP BUDGET ALLOCATION UNDER THE
DSWD IN THE GAA FY 2011 VIOLATES ART. II, SEC. 25 & Section 3. The Congress shall enact a local government
ART. X, SEC. 3 OF THE 1987 CONSTITUTION IN RELATION code which shall provide for a more responsive and
TO SEC. 17 OF THE LOCAL GOVERNMENT CODE OF 1991 BY accountable local government structure instituted through a
PROVIDING FOR THE RECENTRALIZATION OF THE system of decentralization with effective mechanisms of
NATIONAL GOVERNMENT IN THE DELIVERY OF BASIC recall, initiative, and referendum, allocate among the
SERVICES ALREADY DEVOLVED TO THE LGUS. different local government units their powers,
responsibilities, and resources, and provide for the
Petitioners admit that the wisdom of adopting the CCTP as a qualifications, election, appointment and removal, term,
poverty reduction strategy for the Philippines is with the salaries, powers and functions and duties of local officials,
legislature. They take exception, however, to the manner by and all other matters relating to the organization and
which it is being implemented, that is, primarily through a operation of the local units.
national agency like DSWD instead of the LGUs to which the
responsibility and functions of delivering social welfare, xxx
agriculture and health care services have been devolved
pursuant to Section 17 of Republic Act No. 7160, also Section 14. The President shall provide for regional
known as the Local Government Code of 1991, in relation to development councils or other similar bodies composed of
Section 25, Article II & Section 3, Article X of the 1987 local government officials, regional heads of departments
Constitution. and other government offices, and representatives from
non-governmental organizations within the regions for
Petitioners assert that giving the DSWD full control over the purposes of administrative decentralization to strengthen
identification of beneficiaries and the manner by which the autonomy of the units therein and to accelerate the
services are to be delivered or conditionalities are to be economic and social growth and development of the units in
complied with, instead of allocating the P21 Billion CCTP the region. (Underscoring supplied)
Budget directly to the LGUs that would have enhanced its
delivery of basic services, results in the "recentralization" of In order to fully secure to the LGUs the genuine and
basic government functions, which is contrary to the meaningful autonomy that would develop them into self-
precepts of local autonomy and the avowed policy of reliant communities and effective partners in the attainment
decentralization. of national goals,16 Section 17 of the Local Government
Code vested upon the LGUs the duties and functions
Our Ruling pertaining to the delivery of basic services and facilities, as
follows:
The Constitution declares it a policy of the State to ensure
the autonomy of local governments14 and even devotes a SECTION 17. Basic Services and Facilities.
LOCAL GOVERNEMNT CODE 19
Basic Services and Facilities; S.17

(a) Local government units shall endeavor to be self-reliant over a program for which funding has been provided by the
and shall continue exercising the powers and discharging national government under the annual general
the duties and functions currently vested upon them. They appropriations act, even if the program involves the delivery
shall also discharge the functions and responsibilities of of basic services within the jurisdiction of the LGU.
national agencies and offices devolved to them pursuant to
this Code. Local government units shall likewise exercise The Court held in Ganzon v. Court of Appeals17 that while it
such other powers and discharge such other functions and is through a system of decentralization that the State shall
responsibilities as are necessary, appropriate, or incidental promote a more responsive and accountable local
to efficient and effective provision of the basic services and government structure, the concept of local autonomy does
facilities enumerated herein. not imply the conversion of local government units into
"mini-states."18 We explained that, with local autonomy, the
(b) Such basic services and facilities include, but are not Constitution did nothing more than "to break up the
limited to, x x x. monopoly of the national government over the affairs of the
local government" and, thus, did not intend to sever "the
While the aforementioned provision charges the LGUs to relation of partnership and interdependence between the
take on the functions and responsibilities that have already central administration and local government units."19 In
been devolved upon them from the national agencies on the Pimentel v. Aguirre,20 the Court defined the extent of the
aspect of providing for basic services and facilities in their local government's autonomy in terms of its partnership
respective jurisdictions, paragraph (c) of the same provision with the national government in the pursuit of common
provides a categorical exception of cases involving national goals, referring to such key concepts as integration
nationally-funded projects, facilities, programs and services, and coordination. Thus:
thus:
Under the Philippine concept of local autonomy, the national
(c) Notwithstanding the provisions of subsection (b) hereof, government has not completely relinquished all its powers
public works and infrastructure projects and other facilities, over local governments, including autonomous regions. Only
programs and services funded by the National Government administrative powers over local affairs are delegated to
under the annual General Appropriations Act, other special political subdivisions. The purpose of the delegation is to
laws, pertinent executive orders, and those wholly or make governance more directly responsive and effective at
partially funded from foreign sources, are not covered under the local levels. In turn, economic, political and social
this Section, except in those cases where the local development at the smaller political units are expected to
government unit concerned is duly designated as the propel social and economic growth and development. But to
implementing agency for such projects, facilities, programs enable the country to develop as a whole, the programs and
and services. (Underscoring supplied) policies effected locally must be integrated and coordinated
towards a common national goal. Thus, policy-setting for
The essence of this express reservation of power by the the entire country still lies in the President and Congress.
national government is that, unless an LGU is particularly
designated as the implementing agency, it has no power
LOCAL GOVERNEMNT CODE 20
Basic Services and Facilities; S.17

Certainly, to yield unreserved power of governance to the Indeed, a complete relinquishment of central government
local government unit as to preclude any and all powers on the matter of providing basic facilities and
involvement by the national government in programs services cannot be implied as the Local Government Code
implemented in the local level would be to shift the tide of itself weighs against it. The national government is, thus,
monopolistic power to the other extreme, which would not precluded from taking a direct hand in the formulation
amount to a decentralization of power explicated in Limbona and implementation of national development programs
v. Mangelin21 as beyond our constitutional concept of especially where it is implemented locally in coordination
autonomy, thus: with the LGUs concerned.

Now, autonomy is either decentralization of administration Every law has in its favor the presumption of
or decentralization of power. There is decentralization of constitutionality, and to justify its nullification, there must
administration when the central government delegates be a clear and unequivocal breach of the Constitution, not a
administrative powers to political subdivisions in order to doubtful and argumentative one.23Petitioners have failed to
broaden the base of government power and in the process discharge the burden of proving the invalidity of the
to make local governments more responsive and provisions under the GAA of 2011. The allocation of a P21
accountable and ensure their fullest development as self- billion budget for an intervention program formulated by the
reliant communities and make them more effective partners national government itself but implemented in partnership
in the pursuit of national development and social progress. with the local government units to achieve the common
At the same time, it relieves the central government of the national goal development and social progress can by no
burden of managing local affairs and enables it to means be an encroachment upon the autonomy of local
concentrate on national concerns. The President exercises governments.
general supervision over them, but only to ensure that local
affairs are administered according to law. He has no control WHEREFORE, premises considered, the petition is hereby
over their acts in the sense that he can substitute their DISMISSED.
judgments with his own.
SO ORDERED.
Decentralization of power, on the other hand, involves an
abdication of political power in the [sic] favor of local
governments [sic] units declared to be autonomous. In that
case, the autonomous government is free to chart its own
destiny and shape its future with minimum intervention
from central authorities. According to a constitutional
author, decentralization of power amounts to self-
immolation, since in that event, the autonomous
government becomes accountable not to the central
authorities but to its constituency.22rll

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