Professional Documents
Culture Documents
MSI 2D
RELEVANT FACTS
RA 9335 or Attrition Act of 2005 was enacted to optimize the revenue-generation capability and collection of the
BIR and the BOC. The law intends to encourage their officials and employees to exceed their revenue targets by
providing a system of rewards and sanctions through the creation of Rewards and Incentives Fund and Revenue
Performance Evaluation Board.
The Fund is sourced from the collection of the BIR and the BOC in excess of their revenue targets for the year, as
determined by the Development Budget and Coordinating Committee (DBCC). Any incentive or reward is taken from
the fund and allocated to the BIR and the BOC in proportion to their contribution in the excess collection of the
targeted amount of tax revenue.
The Boards in the BIR and BOC to be composed by their respective Commissioners, DOF, DBM, and NEDA, were
tasked with the following:
o to prescribe the rules and guidelines for the allocation, distribution and release of the fund,
o to set criteria and procedures for removing service officials and employees whose revenue collection fall
short of the target; and
o to issue rules and regulations.
Also, the law tasked the DOF, DBM, NEDA, BIR, BOC and the CSC to promulgate and issue the IRR of RA 9335, subject
to the approval of the Joint Congressional Oversight Committee (JCOO) created solely for the purpose of approving
the formulated IRR. Later, the JCOO having approved a formulated IRR by the agencies, JCOO became functus officio
and ceased to exist.
Petitioners, invoking their right as taxpayers, filed this petition challenging the constitutionality of RA 9335 and
sought to prevent herein respondents from implementing and enforcing said law (petition for prohibition).
Petitioners assail, among others, the creation of a congressional oversight committee on the ground that it violates
the doctrine of separation of powers, as it permits legislative participation in the implementation and enforcement
of the law, when legislative function should have been deemed accomplished and completed upon the enactment
of the law.
Respondents, through the OSG, counter the petitioner’s stance by asserting that the creation of the congressional
oversight committee under the law enhances rather than violates separation of powers. They maintain that RA 9335
ensures the fulfillment of the legislative policy and serves as a check to any over-accumulation of power on the part
of the executive and the implementing agencies.
before they take effect. Legislative veto is criticizes as “an undue encroachment
upon the executive prerogatives.”
o As such, a legislative veto in the form of a congressional oversight committee is in
the form of an inward-turning delegation designed to attach a congressional
leash (other than through scrutiny and investigation) to an agency to which
Congress has by law initially delegated broad powers. It radically changes the
design or structure of the Constitution’s diagram of power as it entrusts to
Congress a direct role in enforcing, applying or implementing its own laws.
Administrative regulations enacted by administrative agencies to implement and interpret
the law which they are entrusted to enforce have the force of law and are entitled to
respect. Congress, in the guise of assuming the role of an overseer, may not pass upon their
legality by subjecting them to its stamp of approval without disturbing the calculated
balance of powers established by the Constitution. In exercising discretion to approve or
disapprove the IRR based on a determination of whether or not they conformed with the
provisions of RA 9335, Congress arrogated judicial power unto itself, a power exclusively
vested in this Court by the Constitution.
Congress has two options when enacting legislation to define national policy within the
broad horizons of its legislative competence. It can itself formulate the details or it can
assign to the executive branch the responsibility for making necessary managerial decisions
in conformity with those standards.
o In the latter case, the law must be complete in all its essential terms and
conditions when it leaves the hands of the legislature.
o Thus, what is left for the executive branch or the concerned administrative agency
when it formulates rules and regulations implementing the law is to fill up details
(supplementary rule-making) or ascertain facts necessary to bring the law into
actual operation (contingent rule-making).
From the moment the law becomes effective, any provision of law that empowers
Congress or any of its members to play any role in the implementation or enforcement of
the law violates the principle of separation of powers and is thus unconstitutional. Under
this principle, a provision that requires Congress or its members to approve the
implementing rules of a law after it has already taken effect shall be unconstitutional, as is
a provision that allows Congress or its members to overturn any directive or ruling made
by the members of the executive branch charged with the implementation of the law.
RULING
Wherefore, the petition is hereby partially granted. Section 12 of RA 9335 creating a Joint Congressional Oversight Committee
to approve the implementing rules and regulations of the law is declared UNCONSTITUTIONAL and therefore NULL and VOID.
The constitutionality of the remaining provisions of RA 9335 is upheld.
SEPARATE OPINIONS
NOTES
SEC. 12 of RA 9335. Joint Congressional Oversight Committee. There is hereby created a Joint Congressional Oversight
Committee composed of seven Members from the Senate and seven Members from the House of Representatives. The
Members from the Senate shall be appointed by the Senate President, with at least two senators representing the minority.
The Members from the House of Representatives shall be appointed by the Speaker with at least two members representing
the minority. After the Oversight Committee will have approved the implementing rules and regulations (IRR) it shall
thereafter become functus officio and therefore cease to exist.