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Be It Enacted by The Senate and House of Representatives of The Philippines in Congress Assembled

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Republic Act No.

7160: October 10, 1991 maintenance of ecological balance within their territorial
Setion 41(b) Amended by RA 8553 jurisdiction, subject to the provisions of this Code and national
Setion 43 Amended by RA 8553 policies;

AN ACT PROVIDING FOR A LOCAL GOVERNMENT CODE OF 1991: (j) Effective mechanisms for ensuring the accountability of
Be it enacted by the Senate and House of Representatives of the local government units to their respective constituents shall be
Philippines in Congress assembled: strengthened in order to upgrade continually the quality of
local leadership;
BOOKI: GENERAL PROVISIONS
(k) The realization of local autonomy shall be facilitated
through improved coordination of national government
TITLEI: BASIC PRINCIPLES
policies and programs an extension of adequate technical and
material assistance to less developed and deserving local
CHAPTERI: The Code: Policy and Application government units;

Section 1. Title. - This Act shall be known and cited as the "Local (l) The participation of the private sector in local governance,
Government Code of 1991". particularly in the delivery of basic services, shall be
encouraged to ensure the viability of local autonomy as an
alternative strategy for sustainable development; and
Section 2. Declaration of Policy. -

(m) The national government shall ensure that


(a) It is hereby declared the policy of the State that the decentralization contributes to the continuing improvement of
territorial and political subdivisions of the State shall enjoy
the performance of local government units and the quality of
genuine and meaningful local autonomy to enable them to community life.
attain their fullest development as self-reliant communities
and make them more effective partners in the attainment of
national goals. Toward this end, the State shall provide for a Section 4. Scope of Application. - This Code shall apply to all provinces,
more responsive and accountable local government structure cities, municipalities, barangays, and other political subdivisions as may
instituted through a system of decentralization whereby local be created by law, and, to the extent herein provided, to officials, offices,
government units shall be given more powers, authority, or agencies of the national government.
responsibilities, and resources. The process of
decentralization shall proceed from the national government
Section 5. Rules of Interpretation. - In the interpretation of the
to the local government units.
provisions of this Code, the following rules shall apply:

(b) It is also the policy of the State to ensure the accountability


(a) Any provision on a power of a local government unit shall
of local government units through the institution of effective
be liberally interpreted in its favor, and in case of doubt, any
mechanisms of recall, initiative and referendum.
question thereon shall be resolved in favor of devolution of
powers and of the lower local government unit. Any fair and
(c) It is likewise the policy of the State to require all national reasonable doubt as to the existence of the power shall be
agencies and offices to conduct periodic consultations with interpreted in favor of the local government unit concerned;
appropriate local government units, nongovernmental and
people's organizations, and other concerned sectors of the
(b) In case of doubt, any tax ordinance or revenue measure
community before any project or program is implemented in
shall be construed strictly against the local government unit
their respective jurisdictions.1awphil.net
enacting it, and liberally in favor of the taxpayer. Any tax
exemption, incentive or relief granted by any local government
Section 3. Operative Principles of Decentralization. - The formulation unit pursuant to the provisions of this Code shall be construed
and implementation of policies and measures on local autonomy shall strictly against the person claiming it.
be guided by the following operative principles:
(c) The general welfare provisions in this Code shall be
(a) There shall be an effective allocation among the different liberally interpreted to give more powers to local government
local government units of their respective powers, functions, units in accelerating economic development and upgrading
responsibilities, and resources; the quality of life for the people in the community;

(b) There shall be established in every local government unit (d) Rights and obligations existing on the date of effectivity of
an accountable, efficient, and dynamic organizational this Code and arising out of contracts or any other source of
structure and operating mechanism that will meet the priority presentation involving a local government unit shall be
needs and service requirements of its communities; governed by the original terms and conditions of said
contracts or the law in force at the time such rights were
vested; and
(c) Subject to civil service law, rules and regulations, local
officials and employees paid wholly or mainly from local funds
shall be appointed or removed, according to merit and fitness, (e) In the resolution of controversies arising under this Code
by the appropriate appointing authority; where no legal provision or jurisprudence applies, resort may
be had to the customs and traditions in the place where the
controversies take place.
(d) The vesting of duty, responsibility, and accountability in
local government units shall be accompanied with provision
for reasonably adequate resources to discharge their powers CHAPTER II
and effectively carry out their functions: hence, they shall have General Powers and Attributes of Local Government Units
the power to create and broaden their own sources of revenue
and the right to a just share in national taxes and an equitable
Section 6. Authority to Create Local Government Units. - A local
share in the proceeds of the utilization and development of the
government unit may be created, divided, merged, abolished, or its
national wealth within their respective areas;
boundaries substantially altered either by law enacted by Congress in
the case of a province, city, municipality, or any other political
(e) Provinces with respect to component cities and subdivision, or by ordinance passed by the sangguniang panlalawigan
municipalities, and cities and municipalities with respect to or sangguniang panlungsod concerned in the case of a barangay
component barangays, shall ensure that the acts of their located within its territorial jurisdiction, subject to such limitations and
component units are within the scope of their prescribed requirements prescribed in this Code.
powers and functions;
Section 7. Creation and Conversion. - As a general rule, the creation of
(f) Local government units may group themselves, consolidate a local government unit or its conversion from one level to another level
or coordinate their efforts, services, and resources commonly shall be based on verifiable indicators of viability and projected capacity
beneficial to them; to provide services, to wit:

(g) The capabilities of local government units, especially the (a) Income. - It must be sufficient, based on acceptable
municipalities and barangays, shall be enhanced by providing standards, to provide for all essential government facilities
them with opportunities to participate actively in the and services and special functions commensurate with the
implementation of national programs and projects; size of its population, as expected of the local government unit
concerned;
(h) There shall be a continuing mechanism to enhance local
autonomy not only by legislative enabling acts but also by (b) Population. - It shall be determined as the total number of
administrative and organizational reforms; inhabitants within the territorial jurisdiction of the local
government unit concerned; and
(i) Local government units shall share with the national
government the responsibility in the management and
(c) Land Area. - It must be contiguous, unless it comprises two (a) The sangguniang panlalawigan may, in consultation with
or more islands or is separated by a local government unit the Philippine Historical Commission (PHC), change the name
independent of the others; properly identified by metes and of the following within its territorial jurisdiction:
bounds with technical descriptions; and sufficient to provide
for such basic services and facilities to meet the requirements
(1) Component cities and municipalities, upon the
of its populace.
recommendation of the sanggunian concerned;

Compliance with the foregoing indicators shall be attested to


(2) Provincial roads, avenues, boulevards,
by the Department of Finance (DOF), the National Statistics
thoroughfares, and bridges;
Office (NSO), and the Lands Management Bureau (LMB) of
the Department of Environment and Natural Resources
(DENR). (3) Public vocational or technical schools and other
post-secondary and tertiary schools;
Section 8. Division and Merger. - Division and merger of existing local
government units shall comply with the same requirements herein (4) Provincial hospitals, health centers, and other
prescribed for their creation: Provided, however, That such division shall health facilities; and
not reduce the income, population, or land area of the local government
unit or units concerned to less than the minimum requirements
prescribed in this Code: Provided, further, That the income classification (5) Any other public place or building owned by the
provincial government.
of the original local government unit or units shall not fall below its
current classification prior to such division.
(b) The sanggunian of highly urbanized cities and of
component cities whose charters prohibit their voters from
The income classification of local government units shall be updated
within six (6) months from the effectivity of this Code to reflect the voting for provincial elective officials, hereinafter referred to in
changes in their financial position resulting from the increased revenues this Code as independent component cities, may, in
consultation with the Philippine Historical Commission,
as provided herein.
change the name of the following within its territorial
jurisdiction:
Section 9. Abolition of Local Government Units. - A local government
unit may be abolished when its income, population, or land area has
been irreversibly reduced to less than the minimum standards (1) City barangays, upon the recommendation of
prescribed for its creation under Book III of this Code, as certified by the the sangguniang barangay concerned;
national agencies mentioned in Section 7 hereof to Congress or to the
sangguniang concerned, as the case may be. (2) City roads, avenues, boulevards, thoroughfares,
and bridges;
The law or ordinance abolishing a local government unit shall specify the
province, city, municipality, or barangay with which the local government (3) Public elementary, secondary and vocational or
unit sought to be abolished will be incorporated or merged. technical schools, community colleges and non-
chartered colleges;
Section 10. Plebiscite Requirement. - No creation, division, merger,
abolition, or substantial alteration of boundaries of local government (4) City hospitals, health centers and other health
units shall take effect unless approved by a majority of the votes cast in facilities; and
a plebiscite called for the purpose in the political unit or units directly
affected. Said plebiscite shall be conducted by the Commission on
Elections (COMELEC) within one hundred twenty (120) days from the (5) Any other public place or building owned by the
date of effectivity of the law or ordinance effecting such action, unless city government.
said law or ordinance fixes another date.
(c) The sanggunians of component cities and municipalities
Section 11. Selection and Transfer of Local Government Site, Offices may, in consultation with the Philippine Historical
and Facilities. - Commission, change the name of the following within its
territorial jurisdiction:

(a) The law or ordinance creating or merging local government


units shall specify the seat of government from where (1) City and municipal barangays, upon
governmental and corporate services shall be delivered. In recommendation of the sangguniang barangay
selecting said site, factors relating to geographical centrality, concerned;
accessibility, availability of transportation and communication
facilities, drainage and sanitation, development and economic (2) City, municipal and barangay roads, avenues,
progress, and other relevant considerations shall be taken into boulevards, thoroughfares, and bridges;
account.
(3) City and municipal public elementary,
(b) When conditions and developments in the local secondary and vocational or technical schools,
government unit concerned have significantly changed post- secondary and other tertiary schools;
subsequent to the establishment of the seat of government,
its sanggunian may, after public hearing and by a vote of two-
thirds (2/3) of all its members, transfer the same to a site better (4) City and municipal hospitals, health centers and
suited to its needs. Provided, however, That no such transfer other health facilities; and
shall be made outside the territorial boundaries of the local
government unit concerned. (5) Any other public place or building owned by the
municipal government.
The old site, together with the improvements thereon, may be
disposed of by the sale or lease or converted to such other (d) None of the foregoing local government units, institutions,
use as the sangguniang concerned may deem beneficial to places, or buildings shall be named after a living person, nor
the local government unit concerned and its inhabitants. may a change of name be made unless for a justifiable reason
and, in any case, not oftener than once every ten (10) years.
(c) Local government offices and facilities shall not be The name of a local government unit or a public place, street
transferred, relocated, or converted to other uses unless or structure with historical, cultural, or ethnic significance shall
public hearings are first conducted for the purpose and the not be changed, unless by a unanimous vote of the
concurrence of the majority of all the members of the sanggunian concerned and in consultation with the PHC.
sanggunian concerned is obtained.
(e) A change of name of a public school shall be made only
Section 12. Government Centers. - Provinces, cities, and municipalities upon the recommendation of the local school board
shall endeavor to establish a government center where offices, concerned.
agencies, or branches of the national government, local government
units, or government-owned or controlled corporations may, as far as (f) A change of name of public hospitals, health centers, and
practicable, be located. In designating such a center, the local other health facilities shall be made only upon the
government unit concerned shall take into account the existing facilities recommendation of the local health board concerned.
of national and local agencies and offices which may serve as the
government center as contemplated under this Section. The national
government, local government unit or government-owned or controlled (g) The change of name of any local government unit shall be
corporation concerned shall bear the expenses for the construction of its effective only upon ratification in a plebiscite conducted for the
buildings and facilities in the government center. purpose in the political unit directly affected.

Section 13. Naming of Local Government Units and Public Places, (h) In any change of name, the Office of the President, the
Streets and Structures. - representative of the legislative district concerned, and the
Bureau of Posts shall be notified.
Section 14. Beginning of Corporate Existence. - When a new local waters including the conservation of
government unit is created, its corporate existence shall commence mangroves;
upon the election and qualification of its chief executive and a majority
of the members of its sanggunian, unless some other time is fixed
(ii) Pursuant to national policies and
therefor by the law or ordinance creating it.
subject to supervision, control and review
of the DENR, implementation of
Section 15. Political and Corporate Nature of Local Government Units. - community-based forestry projects which
Every local government unit created or recognized under this Code is a include integrated social forestry
body politic and corporate endowed with powers to be exercised by it in programs and similar projects;
conformity with law. As such, it shall exercise powers as a political management and control of communal
subdivision of the national government and as a corporate entity forests with an area not exceeding fifty
representing the inhabitants of its territory. (50) square kilometers; establishment of
tree parks, greenbelts, and similar forest
development projects;
Section 16. General Welfare. - Every local government unit shall
exercise the powers expressly granted, those necessarily implied
therefrom, as well as powers necessary, appropriate, or incidental for its (iii) Subject to the provisions of Title Five,
efficient and effective governance, and those which are essential to the Book I of this Code, health services which
promotion of the general welfare. Within their respective territorial include the implementation of programs
jurisdictions, local government units shall ensure and support, among and projects on primary health care,
other things, the preservation and enrichment of culture, promote health maternal and child care, and
and safety, enhance the right of the people to a balanced ecology, communicable and non-communicable
encourage and support the development of appropriate and self-reliant disease control services, access to
scientific and technological capabilities, improve public morals, enhance secondary and tertiary health services;
economic prosperity and social justice, promote full employment among purchase of medicines, medical supplies,
their residents, maintain peace and order, and preserve the comfort and and equipment needed to carry out the
convenience of their inhabitants. services herein enumerated;

Section 17. Basic Services and Facilities. - (iv) Social welfare services which include
programs and projects on child and youth
welfare, family and community welfare,
(a) Local government units shall endeavor to be self-reliant
women's welfare, welfare of the elderly
and shall continue exercising the powers and discharging the
and disabled persons; community-based
duties and functions currently vested upon them. They shall
rehabilitation programs for vagrants,
also discharge the functions and responsibilities of national
beggars, street children, scavengers,
agencies and offices devolved to them pursuant to this Code.
juvenile delinquents, and victims of drug
Local government units shall likewise exercise such other
abuse; livelihood and other pro-poor
powers and discharge such other functions and
projects; nutrition services; and family
responsibilities as are necessary, appropriate, or incidental to
planning services;
efficient and effective provisions of the basic services and
facilities enumerated herein.
(v) Information services which include
investments and job placement
(b) Such basic services and facilities include, but are not
information systems, tax and marketing
limited to, the following:
information systems, and maintenance of
a public library;
(1) For Barangay:
(vi) Solid waste disposal system or
(i) Agricultural support services which environmental management system and
include planting materials distribution services or facilities related to general
system and operation of farm produce hygiene and sanitation;
collection and buying stations;
(vii) Municipal buildings, cultural centers,
(ii) Health and social welfare services public parks including freedom parks,
which include maintenance of barangay playgrounds, and other sports facilities
health center and day-care center; and equipment, and other similar
facilities;
(iii) Services and facilities related to
general hygiene and sanitation, (viii) Infrastructure facilities intended
beautification, and solid waste collection; primarily to service the needs of the
residents of the municipality and which
are funded out of municipal funds
(iv) Maintenance of katarungang
including but not limited to, municipal
pambarangay; roads and bridges; school buildings and
other facilities for public elementary and
(v) Maintenance of barangay roads and secondary schools; clinics, health
bridges and water supply systems; centers and other health facilities
necessary to carry out health services;
communal irrigation, small water
(vi) Infrastructure facilities such as multi- impounding projects and other similar
purpose hall, multipurpose pavement, projects; fish ports; artesian wells, spring
plaza, sports center, and other similar development, rainwater collectors and
facilities; water supply systems; seawalls, dikes,
drainage and sewerage, and flood
(vii) Information and reading center; and control; traffic signals and road signs;
and similar facilities;
(viii) Satellite or public market, where
viable; (ix) Public markets, slaughterhouses and
other municipal enterprises;
(2) For a Municipality:
(x) Public cemetery;
(i) Extension and on-site research
services and facilities related to (xi) Tourism facilities and other tourist
agriculture and fishery activities which attractions, including the acquisition of
include dispersal of livestock and poultry, equipment, regulation and supervision of
fingerlings, and other seedling materials business concessions, and security
for aquaculture; palay, corn, and services for such facilities; and
vegetable seed farms; medicinal plant
gardens; fruit tree, coconut, and other (xii) Sites for police and fire stations and
kinds of seedling nurseries; substations and municipal jail;
demonstration farms; quality control of
copra and improvement and
development of local distribution (3) For a Province:
channels, preferably through
cooperatives; interbarangay irrigation (i) Agricultural extension and on-site
system; water and soil resource research services and facilities which
utilization and conservation projects; and include the prevention and control of
enforcement of fishery laws in municipal
plant and animal pests and diseases; both foreign and local sources necessary for the provision of
dairy farms, livestock markets, animal the foregoing services and facilities shall be undertaken by the
breeding stations, and artificial local government unit concerned, based on national policies,
insemination centers; and assistance in standards and guidelines.
the organization of farmers and
fishermen's cooperatives, and other
(e) National agencies or offices concerned shall devolve to
collective organizations, as well as the
local government units the responsibility for the provision of
transfer of appropriate technology;
basic services and facilities enumerated in this Section within
six (6) months after the effectivity of this Code.
(ii) Industrial research and development
services, as well as the transfer of
As used in this Code, the term "devolution" refers to the act by
appropriate technology;
which the national government confers power and authority
upon the various local government units to perform specific
(iii) Pursuant to national policies and functions and responsibilities.
subject to supervision, control and review
of the DENR, enforcement of forestry
(f) The national government or the next higher level of local
laws limited to community-based forestry
government unit may provide or augment the basic services
projects, pollution control law, small-
and facilities assigned to a lower level of local government unit
scale mining law, and other laws on the
when such services or facilities are not made available or, if
protection of the environment; and mini-
made available, are inadequate to meet the requirements of
hydroelectric projects for local purposes;
its inhabitants.

(iv) Subject to the provisions of Title Five,


(g) The basic services and facilities hereinabove enumerated
Book I of this Code, health services which
shall be funded from the share of local government units in the
include hospitals and other tertiary health
proceeds of national taxes and other local revenues and
services;
funding support from the national government, its
instrumentalities and government-owned or controlled
(v) Social welfare services which include corporations which are tasked by law to establish and
programs and projects on rebel returnees maintain such services or facilities. Any fund or resource
and evacuees; relief operations; and available for the use of local government units shall be first
population development services; allocated for the provision of basic services or facilities
enumerated in subsection (b) hereof before applying the same
for other purposes, unless otherwise provided in this Code.
(vi) Provincial buildings, provincial jails,
freedom parks and other public assembly
areas and similar facilities; (h) Regional offices of national agencies or offices whose
functions are devolved to local government units as provided
herein shall be phased out within one (1) year from the
(vii) Infrastructure facilities intended to
approval of this Code. Said national agencies and offices may
service the needs of the residence of the
establish such field units as may be necessary for monitoring
province and which are funded out of
purposes and providing technical assistance to local
provincial funds including, but not limited
government units. The properties, equipment, and other
to, provincial roads and bridges; inter-
assets of these regional offices shall be distributed to the local
municipal waterworks, drainage and
government units in the region in accordance with the rules
sewerage, flood control, and irrigation
and regulations issued by the oversight committee created
systems; reclamation projects; and
under this Code.
similar facilities;

(i) The devolution contemplated in this Code shall include the


(viii) Programs and projects for low-cost
transfer to local government units of the records, equipment,
housing and other mass dwellings,
and other assets and personnel of national agencies and
except those funded by the Social
offices corresponding to the devolved powers, functions, and
Security System (SSS), Government
responsibilities.
Service Insurance System p. 172 (GSIS),
and the Home Development Mutual Fund
(HDMF): Provided, That national funds Personnel of said national agencies or offices shall be
for these programs and projects shall be absorbed by the local government units to which they belong
equitably allocated among the regions in or in whose areas they are assigned to the extent that it is
proportion to the ratio of the homeless to administratively viable as determined by the said oversight
the population; committee: Provided, That the rights accorded to such
personnel pursuant to civil service law, rules and regulations
shall not be impaired: Provided, further, That regional
(ix) Investment support services,
directors who are career executive service officers and other
including access to credit financing;
officers of similar rank in the said regional offices who cannot
be absorbed by the local government unit shall be retained by
(x) Upgrading and modernization of tax the national government, without any diminution of rank,
information and collection services salary or tenure.
through the use of computer hardware
and software and other means;
(j) To ensure the active participation of the private sector in
local governance, local government units may, by ordinance,
(xi) Inter-municipal telecommunications sell, lease, encumber, or otherwise dispose of public
services, subject to national policy economic enterprises owned by them in their proprietary
guidelines; and capacity.

(xii) Tourism development and promotion Costs may also be charged for the delivery of basic services
programs; or facilities enumerated in this Section.

(4) For a City: Section 18. Power to Generate and Apply Resources. - Local
government units shall have the power and authority to establish an
organization that shall be responsible for the efficient and effective
All the services and facilities of the municipality and implementation of their development plans, program objectives and
province, and in addition thereto, the following:
priorities; to create their own sources of revenues and to levy taxes, fees,
and charges which shall accrue exclusively for their use and disposition
(1) Adequate communication and and which shall be retained by them; to have a just share in national
transportation facilities; taxes which shall be automatically and directly released to them without
need of any further action; to have an equitable share in the proceeds
from the utilization and development of the national wealth and
(c) Notwithstanding the provisions of subsection (b) hereof, resources within their respective territorial jurisdictions including sharing
public works and infrastructure projects and other facilities, the same with the inhabitants by way of direct benefits; to acquire,
programs and services funded by the national government develop, lease, encumber, alienate, or otherwise dispose of real or
under the annual General Appropriations Act, other special personal property held by them in their proprietary capacity and to apply
laws, pertinent executive orders, and those wholly or partially their resources and assets for productive, developmental, or welfare
funded from foreign sources, are not covered under this purposes, in the exercise or furtherance of their governmental or
Section, except in those cases where the local government proprietary powers and functions and thereby ensure their development
unit concerned is duly designated as the implementing agency into self-reliant communities and active participants in the attainment of
for such projects, facilities, programs, and services. national goals.

(d) The designs, plans, specifications, testing of materials, Section 19. Eminent Domain. - A local government unit may, through its
and the procurement of equipment and materials at P170 from chief executive and acting pursuant to an ordinance, exercise the power
of eminent domain for public use, or purpose or welfare for the benefit (c) Any national or local road, alley, park, or square may be
of the poor and the landless, upon payment of just compensation, temporarily closed during an actual emergency, or fiesta
pursuant to the provisions of the Constitution and pertinent laws: celebrations, public rallies, agricultural or industrial fairs, or an
Provided, however, That the power of eminent domain may not be undertaking of public works and highways,
exercised unless a valid and definite offer has been previously made to telecommunications, and waterworks projects, the duration of
the owner, and such offer was not accepted: Provided, further, That the which shall be specified by the local chief executive
local government unit may immediately take possession of the property concerned in a written order: Provided, however, That no
upon the filing of the expropriation proceedings and upon making a national or local road, alley, park, or square shall be
deposit with the proper court of at least fifteen percent (15%) of the fair temporarily closed for athletic, cultural, or civic activities not
market value of the property based on the current tax declaration of the officially sponsored, recognized, or approved by the local
property to be expropriated: Provided, finally, That, the amount to be government unit concerned.
paid for the expropriated property shall be determined by the proper
court, based on the fair market value at the time of the taking of the
(d) Any city, municipality, or barangay may, by a duly enacted
property.
ordinance, temporarily close and regulate the use of any local
street, road, thoroughfare, or any other public place where
Section 20. Reclassification of Lands. - shopping malls, Sunday, flea or night markets, or shopping
areas may be established and where goods, merchandise,
foodstuffs, commodities, or articles of commerce may be sold
(a) A city or municipality may, through an ordinance passed
and dispensed to the general public.
by the sanggunian after conducting public hearings for the
purpose, authorize the reclassification of agricultural lands
and provide for the manner of their utilization or disposition in Section 22. Corporate Powers. -
the following cases: (1) when the land ceases to be
economically feasible and sound for agricultural purposes as
(a) Every local government unit, as a corporation, shall have
determined by the Department of Agriculture or (2) where the
the following powers:
land shall have substantially greater economic value for
residential, commercial, or industrial purposes, as determined
by the sanggunian concerned: Provided, That such (1) To have continuous succession in its corporate
reclassification shall be limited to the following percentage of name;
the total agricultural land area at the time of the passage of
the ordinance:
(2) To sue and be sued;

(1) For highly urbanized and independent


component cities, fifteen percent (15%); (3) To have and use a corporate seal;

(2) For component cities and first to the third class (4) To acquire and convey real or personal property;
municipalities, ten percent (10%); and
(5) To enter into contracts; and
(3) For fourth to sixth class municipalities, five
percent (5%): Provided, further, That agricultural (6) To exercise such other powers as are granted
lands distributed to agrarian reform beneficiaries to corporations, subject to the limitations provided
pursuant to Republic Act Numbered Sixty-six in this Code and other laws.
hundred fifty-seven (R.A. No. 6657). otherwise
known as "The Comprehensive Agrarian Reform
Law", shall not be affected by the said (b) Local government units may continue using, modify, or
reclassification and the conversion of such lands change their existing corporate seals: Provided, That newly
into other purposes shall be governed by Section established local government units or those without corporate
65 of said Act. seals may create their own corporate seals which shall be
registered with the Department of the Interior and Local
Government: Provided, further, That any change of corporate
(b) The President may, when public interest so requires and seal shall also be registered as provided hereon.
upon recommendation of the National Economic and
Development Authority, authorize a city or municipality to
reclassify lands in excess of the limits set in the next preceding (c) Unless otherwise provided in this Code, no contract may
paragraph. be entered into by the local chief executive in behalf of the
local government unit without prior authorization by the
sanggunian concerned. A legible copy of such contract shall
(c) The local government units shall, in conformity with be posted at a conspicuous place in the provincial capitol or
existing laws, continue to prepare their respective the city, municipal or barangay hall.
comprehensive land use plans enacted through zoning
ordinances which shall be the primary and dominant bases for
the future use of land resources: Provided. That the (d) Local government units shall enjoy full autonomy in the
requirements for food production, human settlements, and exercise of their proprietary functions and in the limitations
industrial expansion shall be taken into consideration in the provided in this Code and other applicable laws,
preparation of such plans.
Section 23. Authority to Negotiate and Secure Grants. - Local chief
(d) Where approval by a national agency is required for executives may, upon authority of the sanggunian, negotiate and secure
reclassification, such approval shall not be unreasonably financial grants or donations in kind, in support of the basic services or
withheld. Failure to act on a proper and complete application facilities enumerated under Section 17 hereof, from local and foreign
for reclassification within three (3) months from receipt of the assistance agencies without necessity of securing clearance or approval
same shall be deemed as approval thereof. therefor from any department, agency, or office of the national
government of from any higher local government unit: Provided, That
projects financed by such grants or assistance with national security
(e) Nothing in this Section shall be construed as repealing, implications shall be approved by the national agency concerned:
amending, or modifying in any manner the provisions of R.A. Provided, further, That when such national agency fails to act on the
No. 6657. request for approval within thirty (30) days from receipt thereof, the same
shall be deemed approved.
Section 21. Closure and Opening of Roads. -
The local chief executive shall, within thirty (30) days upon signing of
such grant agreement or deed of donation, report the nature, amount,
(a) A local government unit may, pursuant to an ordinance,
permanently or temporarily close or open any local road, alley, and terms of such assistance to both Houses of Congress and the
park, or square falling within its jurisdiction: Provided, President.
however, That in case of permanent closure, such ordinance
must be approved by at least two-thirds (2/3) of all the Section 24. Liability for Damages. - Local government units and their
members of the sanggunian, and when necessary, an officials are not exempt from liability for death or injury to persons or
adequate substitute for the public facility that is subject to damage to property.
closure is provided.

(b) No such way or place or any part thereof shall be


permanently closed without making provisions for the
maintenance of public safety therein. A property thus
permanently withdrawn from public use may be used or
conveyed for any purpose for which other real property
belonging to the local government unit concerned may be
lawfully used or conveyed: Provided, however, That no
freedom park shall be closed permanently without provision
for its transfer or relocation to a new site.
CASES:

Torio v Fontanilla Macasiano v Diokno

Facts: On October 21, 1958, the Municipal Council of Malasiqui, Facts: On June 13, 1990, the respondent municipality passed
Pangasinan, passed Resolution No. 159 whereby "it resolved to Ordinance No. 86, Series of 1990 which authorized the closure
manage the 1959 Malasiqui town fiesta celebration on January of J. Gabriel, G.G. Cruz, Bayanihan, Lt. Garcia Extension and
21, 22, and 23, 1959." Resolution No. 182 was also passed Opena Streets located at Baclaran, Parañaque, Metro Manila
creating the "1959 Malasiqui 'Town Fiesta Executive and the establishment of a flea market thereon. Later on, the
Committee" which in turn organized a sub-committee on council authorize the Parañaque Mayor Walfrido N. Ferrer to
entertainment and stage, with Jose Macaraeg as Chairman. enter into contract with Palanyag a service cooperative for the
establishment, operation, maintenance and management of flea
The "zarzuela" entitled "Midas Extravaganza" was donated by markets and/or vending areas. Consequently, market stalls were
an association of Malasiqui employees of the Manila Railroad put up by respondent Palanyag on the said streets.
Company in Caloocan, Rizal. The troupe arrived in the evening
of January 22 for the performance and one of the members of On September 13, 1990, petitioner Brig. Gen. Macasiano, PNP
the group was Vicente Fontanilla. The program started at about Superintendent of the Metropolitan Traffic Command, ordered
10:15 o'clock that evening with some speeches, and many the destruction and confiscation of stalls along G.G. Cruz and J.
persons went up the stage. The "zarzuela" then began but Gabriel St. in Baclaran.
before the dramatic part of the play was reached, the stage
collapsed and Vicente Fontanilla who was at the rear of the
Hence, on October 23, 1990, respondents municipality and
stage was pinned underneath. Fontanilia was taken to tile San
Palanyag filed with the trial court a joint petition for prohibition
Carlos General Hospital where he died in the afternoon of the
and mandamus with damages and prayer for preliminary
following day.
injunction, the trial court issued a temporary restraining order to
enjoin petitioner from enforcing his letter-order and
The heirs of Vicente Fontanilia filed a complaint with the Court subsequently held the ordinance to be valid. Hence, this petition.
of First Instance of Manila on September 11, 1959 to recover
damages. Named party-defendants were the Municipality of
Issue: Whether or not an ordinance or resolution issued by the
Malasiqui, the Municipal Council of Malasiqui and all the
municipal council of Parañaque authorizing the lease and use of
individual members of the Municipal Council in 1959.
public streets or thoroughfares as sites for flea markets is valid.

Answering the complaint defendant municipality invoked inter


Ruling: We find the petition meritorious. In resolving the question
alia the principal defense that as a legally and duly organized
of whether the disputed municipal ordinance authorizing the flea
public corporation it performs sovereign functions and the
market on the public streets is valid, it is necessary to examine
holding of a town fiesta was an exercise of its governmental
the laws in force during the time the said ordinance was enacted,
functions from which no liability can arise to answer for the
namely, Batas Pambansa Blg. 337, otherwise known as Local
negligence of any of its agents.
Government Code, in connection with established principles
embodied in the Civil Code an property and settled
RTC ruled in favour of defendants as the stage collapsed jurisprudence on the matter.
beyond the control of the committee which was revered by the
CA.
Based on the foregoing, J. Gabriel G.G. Cruz, Bayanihan, Lt.
Garcia Extension and Opena streets are local roads used for
Issue: Whether or not the celebration of a town fiesta is a public service and are therefore considered public properties of
governmental function in which there can be no recovery respondent municipality. Properties of the local government
for damages. which are devoted to public service are deemed public and are
under the absolute control of Congress (Province of Zamboanga
Ruling: The powers of a municipality are twofold in character del Norte v. City of Zamboanga, L-24440, March 28, 1968, 22
public, governmental or political on the one hand, and corporate, SCRA 1334). Hence, local governments have no authority
private, or proprietary on the other. If it is a governmental whatsoever to control or regulate the use of public properties
function no recovery, as a rule, can be. had so long as they unless specific authority is vested upon them by Congress.
performed their duties honestly and in good faith or that they did
not act wantonly and maliciously. When it is proprietary One such example of this authority given by Congress to the
functions, the settled rule is that a municipal corporation can be local governments is the power to close roads as provided in
held liable to third persons ex contract 13 or ex delicto. 14 Section 10, Chapter II of the Local Government Code, however,
the aforestated legal provision which gives authority to local
The celebration of a town fiesta by the Municipality of Malasiqui government units to close roads and other similar public places
was not a governmental function. The legal consequence should be read and interpreted in accordance with basic
thereof is that the Municipality stands on the same footing as an principles already established by law. These basic principles
ordinary private corporation with the municipal council acting as have the effect of limiting such authority of the province, city or
its board of directors. municipality to close a public street or thoroughfare.

Lastly, petitioner or appellant Municipality cannot evade ability Article 424 of the Civil Code lays down the basic principle that
and/or liability under the c that it was Jose Macaraeg who properties of public dominion devoted to public use and made
constructed the stage. The municipality acting through its available to the public in general are outside the commerce of
municipal council appointed Macaraeg as chairman of the sub- man and cannot be disposed of or leased by the local
committee on entertainment and in charge of the construction of government unit to private persons.
the "zarzuela" stage. Macaraeg acted merely as an agent of the
Municipality. Under the doctrine of respondent superior Balacuit v CFI of Agusan
mentioned earlier, petitioner is responsible or liable for the
negligence of its agent acting within his assigned tasks.
Facts: The Municipality of Butuan passed an ORDINANCE—
640. It is an oRDINANCE PENALIZING ANY PERSON, GROUP
On these people We absolve Use municipal councilors from any OF PERSONS, ENTITY OR CORPORATION ENGAGED IN
liability for the death of Vicente Fontanilla. The records do not THE BUSINESS OF SELLING ADMISSION TICKETS TO ANY
show that said petitioners directly participated in the defective MOVIE OR OTHER PUBLIC EXHIBITIONS, GAMES,
construction of the "zarzuela" stage or that they personally CONTESTS OR OTHER PERFORMANCES TO REQUIRE
permitted spectators to go up the platform. CHILDREN BETWEEN SEVEN (7) AND TWELVE (12) YEARS
OF AGE TO PAY FULL PAYMENT FOR TICKETS INTENDED
FOR ADULTS BUT SHOULD CHARGE ONLY ONE-HALF OF
THE SAID TICKET

Petitioners are Carlos Balacuit Lamberto Tan, and Sergio Yu


Carcel managers of the Maya and Dalisay Theaters, the Crown
Theater, and the Diamond Theater, respectively. Petitioners
attack the validity and constitutionality of Ordinance No. 640 on
the grounds that it is ultra vires and an invalid exercise of police
power.
RTC ruled in favour of its validity. Petitioners filed their motion padilla v Comelec
for reconsideration but was denied. Hence, this petition.
Facts: Thus, in this special civil action of certiorari, petitioner as
Petitioners contend that Ordinance No. 640 is not within the Governor of Camarines Norte, seeks to set aside the plebiscite
power of' the Municipal Board to enact as provided for in Section conducted on December 15, 1991 throughout the Municipality of
15(n) of Republic Act No. 523, the Charter of the City of Butuan, Labo and prays that a new plebiscite be undertaken as provided
which states: by RA 7155. It is the contention of petitioner that the plebiscite
was a complete failure and that the results obtained were invalid
Sec. 15. General powers and duties of the and illegal because the plebiscite, as mandated by COMELEC
Board — Except as otherwise provided by Resolution No. 2312 should have been conducted only in the
law, and subject political unit or units affected, i.e. the 12 barangays comprising
the new Municipality of Tulay-Na-Lupa namely Tulay-Na-Lupa,
Lugui, San Antonio, Mabilo I, Napaod, Benit, Bayan-Bayan,
Respondent City of Butuan, on the other hand, attempts to justify Matanlang, Pag-Asa, Maot, and Calabasa. Petitioner stresses
the enactment of the ordinance by invoking the general welfare that the plebiscite should not have included the remaining area
clause of the mother unit of the Municipality of Labo, Camarines
Norte. 4
Issue: Whether or not Ordinance 640 is valid
In support of his stand, petitioner argues that with the approval
Ruling: The ordinance is not justified by any necessity for the and ratification of the 1987 Constitution, particularly Article X,
public interest. The police power legislation must be firmly Section 10, the ruling set forth in Tan v. COMELEC 5 relied
grounded on public interest and welfare, and a reasonable upon by respondent COMELEC is now passed, thus reinstating
relation must exist between purposes and means.22 The the case of Paredes v. Executive Secretary 6 which held that
ordinance does not only make the petitioners suffer the loss of where a local unit is to be segregated from a parent unit, only
earnings but it likewise penalizes them for failure to comply with the voters of the unit to be segrated should be included in the
it. plebiscite. 7

We can see that the ordinance is clearly unreasonable if not ISSUE: Accordingly, the issue in this case is whether or not
unduly oppressive upon the business of petitioners. Moreover, respondent COMELEC committed grave abuse of discretion in
there is no discernible relation between the ordinance and the promulgating Resolution No. 2312 and, consequently, whether
promotion of public health, safety, morals and the general or not the plebiscite conducted in the areas comprising the
welfare. proposed Municipality of Tulay-Na-Lupa and the remaining
areas of the mother Municipality of Labo is valid.
Nonetheless, as to the question of the subject ordinance being
a valid exercise of police power, the same must be resolved in Ruling: We rule that respondent COMELEC did not commit
the negative. While it is true that a business may be regulated, grave abuse in promulgating Resolution No. 2312 and that the
it is equally true that such regulation must be within the bounds plebiscite, which rejected the creation of the proposed
of reason, that is, the regulatory ordinance must be reasonable, Municipality of Tulay-Na-Lupa, is valid.
and its provisions cannot be oppressive amounting to an
arbitrary interference with the business or calling subject of It stands to reason that when the law states that the plebiscite
regulation. A lawful business or calling may not, under the guise shall be conducted "in the political units directly affected," it
of regulation, be unreasonably interfered with even by the means that residents of the political entity who would be
exercise of police power.33 A police measure for the regulation economically dislocated by the separation of a portion thereof
of the conduct, control and operation of a business should not have a right to vote in said plebiscite. Evidently, what is
encroach upon the legitimate and lawful exercise by the citizens contemplated by the phase "political units directly affected," is
of their property rights.34 The right of the owner to fix a price at the plurality of political units which would participate in the
which his property shall be sold or used is an inherent attribute plebiscite. 10 Logically, those to be included in such political
of the property itself and, as such, within the protection of the areas are the inhabitants of the 12 barangays of the proposed
due process clause."" Hence, the proprietors of a theater have Municipality of Tulay-Na-Lupa as well as those living in the
a right to manage their property in their own way, to fix what parent Municipality of Labo, Camarines Norte. Thus, we
prices of admission they think most for their own advantage, and conclude that respondent COMELEC did not commit grave
that any person who did not approve could stay away. 36 abuse of discretion in promulgating Resolution No. 2312.

Tan v Comelec WHEREFORE, the instant petition is hereby DISMISSED.


Facts: The complainants are residents of Province of Negros
Occidental. This case is petition contesting the constitutionality tatel v Municipality of Virac
of RA No. 885, An Act Creating a New Province in the Island of
Negros to be known as the Province of Negros del Norte, Facts: AN ORDINANCE STRICTLY PROHIBITING THE
effective Dec. 3, 1985. Pursuant to and in implementation of this CONSTRUCTION OF WAREHOUSE IN ANY FORM NEAR A
law, the COMELEC scheduled a plebiscite for January 3, 1986 BLOCK OF HOUSES EITHER IN POBLACION OR BARRIO
on the proposed new province. The plebiscite resulted in the WITH NECESSARY DISTANCE TO AVOID GREAT LOSSES
affirmative votes thus the proclamation of the new province OF PROPERTY AND LIVES BY FIRE ACCIDENT.
known as Negros del Norte.
This is a Petition for Prohibition with Preliminary Injunction with
Issue: the Court of First Instance of Catanduanes filed by appellant,
(1)This case question whether as residents of the parent Celestino Tatel, a businessman engaged in the import and
province, the citizens should be included in the plebiscite as the export of abaca and other products against the Municipal
constitution provides that it should be conducted in the affected Council of Virac, Catanduanes and its municipal officials
area enjoining them from enforcing Resolution No 29 1 of the Council,
(2)They also question the constitutionality of the law as the declaring the warehouse of petitioner in barrio Sta. Elena of the
territory did not reach the required minimum of 2500 sq.km said municipality a public nuisance within the purview of Article
694 of the Civil Code of the Philippines and directing the
Rulings: petitioner to remove and transfer said warehouse to a more
(Issue 1): The Supreme Court held the citizens of the parent suitable place within two (2) months from receipt of the said
province should also be included in the plebiscite as they are resolution.
also affected by the division of the province. This division will
cause an alteration to the parent province’s territorial
boundaries, political units as well as may have adverse It appears from the records that on the basis of complaints
economic effects. received from the residents of barrio Sta. Elena on March 18,
(Issue 2): Based on records, it was proved that the territorial 1966 against the disturbance caused by the operation of the
boundaries of the new province will not reach the required abaca bailing machine inside the warehouse of petitioner which
minimum of 3500 sq.km. As such, the Supreme Court ruled that affected the peace and tranquility of the neighborhood due to
RA No. 885 is unconstitutional. the smoke, obnoxious odor and dust emitted by the machine, a
committee was appointed by the municipal council of Virac to
investigate the matter. The committee noted the crowded nature
of the neighborhood with narrow roads and the surrounding
residential houses, so much so that an accidental fire within the
warehouse of the petitioner occasioned by the continuance of City Engineer before the Register of Deeds allows registration
the activity inside the warehouse and the storing of inflammable of the subdivision plan; and the last section of said ordinance
materials created a danger to the lives and properties of the imposes a penalty for its violation, which Section 44 of Act 496
people within the neighborhood. does not impose. In other words, Ordinance 22 of the City of
Dagupan imposes upon a subdivision owner additional
Resultantly, Resolution No. 29 was passed by the Municipal conditions.
Council of Virac on April 22, 1966 declaring the warehouse
owned and operated by petitioner a public nuisance within the "The Court takes note of the laudable purpose of the ordinance
purview of Article 694 of the New Civil Code. in bringing to a halt the surreptitious registration of lands
belonging to the government. But as already intimidated above,
the powers of the board in enacting such a laudable ordinance
Issue: The issue then boils down on whether petitioner's
warehouse is a nuisance within the meaning of Article 694 of the cannot be held valid when it shall impede the exercise of rights
Civil Code and whether Ordinance No. 13, S. 1952 of the granted in a general law and/or make a general law
Municipality of Virac is unconstitutional and void. subordinated to a local ordinance."

Ruling: We affirm.
Ruling: We find no merit in the Petition.
To sustain the ordinance would be to open the floodgates to
Ordinance No. 13, series of 1952, was passed by the Municipal other ordinances amending and so violating national laws in the
Council of Virac in the exercise of its police power. It is a settled guise of implementing them. Thus, ordinances could be passed
principle of law that municipal corporations are agencies of the imposing additional requirements for the issuance of marriage
State for the promotion and maintenance of local self- licenses, to prevent bigamy; the registration of vehicles, to
government and as such are endowed with the police powers in minimize carnaping; the execution of contracts, to forestall fraud;
order to effectively accomplish and carry out the declared the validation of passports, to deter imposture; the exercise of
objects of their creation. 3 Its authority emanates from the freedom of speech, to reduce disorder; and so on. The list is
general welfare clause under the Administrative Code, which endless, but the means, even if the end be valid, would be ultra
reads:
vires.

For an ordinance to be valid, it must not only be within the This advice is especially addressed to the local governments
corporate powers of the municipality to enact but must also be which exercise the police power only by virtue of a valid
passed according to the procedure prescribed by law, and must delegation from the national legislature under the general
be in consonance with certain well established and basic welfare clause. In the instant case, Ordinance No. 22 suffers
principles of a substantive nature. These principles require that from the additional defect of violating this authority for legislation
a municipal ordinance (1) must not contravene the Constitution in contravention of the national law by adding to its
or any statute (2) must not be unfair or oppressive (3) must not
requirements.
be partial or discriminatory (4) must not prohibit but may regulate
trade (5) must be general and consistent with public policy, and
(6) must not be unreasonable. 5 Ordinance No. 13, Series of magtajas v Pryce
1952, meets these criteria.

There was instant opposition when PAGCOR announced the


In spite of its fractured syntax, basically, what is regulated by the
opening of a casino in Cagayan de Oro City. Civic organizations
ordinance is the construction of warehouses wherein
angrily denounced the project. The religious elements echoed
inflammable materials are stored where such warehouses are
the objection and so did the women's groups and the youth.
located at a distance of 200 meters from a block of houses and
Demonstrations were led by the mayor and the city legislators.
not the construction per se of a warehouse. The purpose is to
The media trumpeted the protest, describing the casino as an
avoid the loss of life and property in case of fire which is one of
affront to the welfare of the city.
the primordial obligation of the government.

The trouble arose when in 1992, flush with its tremendous


Villacorta v Bernardo:
success in several cities, PAGCOR decided to expand its
operations to Cagayan de Oro City. To this end, it leased a
Facts: This is a petition for certiorari against a decision of the
portion of a building belonging to Pryce Properties Corporation,
Court of First Instance of Pangasinan annulling an ordinance
Inc., one of the herein private respondents, renovated and
adopted by the municipal board of Dagupan City. "ORDINANCE
equipped the same, and prepared to inaugurate its casino there
22: "AN ORDINANCE REGULATING SUBDIVISION PLANS
during the Christmas season.
OVER PARCELS OF LAND IN THE CITY OF DAGUPAN.

"Section 1. Every proposed subdivision plan over any lot in the The reaction of the Sangguniang Panlungsod of Cagayan de
City of Dagupan, shall, before the same is submitted for Oro City was swift and hostile. On December 7, 1992, it enacted
approval and/or verification by the Bureau of Lands and/or the Ordinance No. 3353 reading as follows: AN ORDINANCE
Land Registration Commission, be previously submitted to the PROHIBITING THE ISSUANCE OF BUSINESS PERMIT AND
City Engineer of the City who shall see to it that no CANCELLING EXISTING BUSINESS PERMIT TO ANY
encroachment is made on any portion of the public domain, that ESTABLISHMENT FOR THE USING AND ALLOWING TO BE
the zoning ordinance and all other pertinent rules and USED ITS PREMISES OR PORTION THEREOF FOR THE
regulations are observed. OPERATION OF CASINO.

"Section 3. It shall be unlawful for the Register of Deeds of Nor was this all. On January 4, 1993, it adopted a sterner
Dagupan City to allow the registration of a subdivision plan Ordinance No. 3375-93 reading as follows: AN ORDINANCE
unless there is prior written certification issued by the City PROHIBITING THE OPERATION OF CASINO AND
Engineer that such plan has already been submitted to his PROVIDING PENALTY FOR VIOLATION THEREFOR.
office and that the same is in order.
Pryce assailed the ordinances before the Court of Appeals,
Issue: Whether or not the ordinance is valid.
where it was joined by PAGCOR as intervenor and
supplemental petitioner. Their challenge succeeded. On March
Lower court: In declaring the said ordinance null and void, the
31, 1993, the Court of Appeals declared the ordinances invalid
court a quo declared:
and issued the writ prayed for to prohibit their
"From the above-recited requirements, there is no showing that
enforcement. 1 Reconsideration of this decision was denied on
would justify the enactment of the questioned ordinance. Section
July 13, 1993. 2
1 of said ordinance clearly conflicts with Section 44 of Act 496,
because the latter law does not require subdivision plans to be
submitted to the City Engineer before the same is submitted for Cagayan de Oro City and its mayor are now before us in this
approval to and verification by the General Land Registration petition for review under Rule 45 of the Rules of Court. 3 They
Office or by the Director of Lands as provided for in Section 58 aver that the respondent Court of Appeals erred in holding that:
of said Act. Section 2 of the same ordinance also contravenes
the provisions of Section 44 of Act 496, the latter being silent on Issue: whether or not the ordinances are valid
a service fee of P0.03 per square meter of every lot subject of
such subdivision application; Section 3 of the ordinance in
question also conflicts with Section 44 of Act 496, because the Ruling: PAGCOR is a corporation created directly by P.D. 1869
latter law does not mention of a certification to be made by the to help centralize and regulate all games of chance, including
casinos on land and sea within the territorial jurisdiction of the
Philippines. In Basco v. Philippine Amusements and Gaming fundamental law of the Philippine Islands, or an Act of the
Corporation, 4 this Court sustained the constitutionality of the Philippine Legislature, or unless it is against public policy, or is
decree and even cited the benefits of the entity to the national unreasonable, oppressive, partial, discriminating, or in
economy as the third highest revenue-earner in the government, derogation of common right. Where the power to legislate upon
next only to the BIR and the Bureau of Customs. a given subject, and the mode of its exercise and the details of
such legislation are not prescribed, the ordinance passed
The morality of gambling is not a justiciable issue. Gambling is pursuant thereto must be a reasonable exercise of the power, or
not illegal per se. While it is generally considered inimical to the it will be pronounced invalid." 13 15 If night clubs were merely
interests of the people, there is nothing in the Constitution then regulated and not prohibited, certainly the assailed
categorically proscribing or penalizing gambling or, for that ordinance would pass the test of validity.
matter, even mentioning it at all. It is left to Congress to deal with
the activity as it sees fit. In the exercise of its own discretion, the Qc Govt v Erikta
legislature may prohibit gambling altogether or allow it without
limitation or it may prohibit some forms of gambling and allow Facts: This is a petition for review which seeks the reversal of
others for whatever reasons it may consider sufficient. Thus, it the decision of the Court of First Instance of Rizal, Branch XVIII
has prohibited jueteng and monte but permits lotteries, declaring Section 9 of Ordinance No. 6118, S-64, of the Quezon
cockfighting and horse-racing. In making such choices, City Council null and void.
Congress has consulted its own wisdom, which this Court has
no authority to review, much less reverse.
Section 9 of Ordinance No. 6118, S-64, entitled "ORDINANCE
REGULATING THE ESTABLISHMENT, MAINTENANCE AND
The apparent flaw in the ordinances in question is that they OPERATION OF PRIVATE MEMORIAL TYPE CEMETERY OR
contravene P.D. 1869 and the public policy embodied therein BURIAL GROUND WITHIN THE JURISDICTION OF QUEZON
insofar as they prevent PAGCOR from exercising the power CITY AND PROVIDING PENALTIES FOR THE VIOLATION
conferred on it to operate a casino in Cagayan de Oro City. THEREOF" provides:
Casino gambling is authorized by P.D. 1869. This decree has
the status of a statute that cannot be amended or nullified by a
mere ordinance. Hence, it was not competent for the Sec. 9. At least six (6) percent of the total area
Sangguniang Panlungsod of Cagayan de Oro City to enact of the memorial park cemetery shall be set
Ordinance No. 3353 prohibiting the use of buildings for the aside for charity burial of deceased persons
operation of a casino and Ordinance No. 3375-93 prohibiting the who are paupers and have been residents of
operation of casinos. For all their praiseworthy motives, these Quezon City for at least 5 years prior to their
ordinances are contrary to P.D. 1869 and the public policy death, to be determined by competent City
announced therein and are therefore ultra vires and void. Authorities. The area so designated shall
immediately be developed and should be
open for operation not later than six months
Cruz v Paras from the date of approval of the application.

Facts: Petitioners Vicente de la Cruz, et al. in Civil Case No. Petitioners argue that the taking of the respondent's property is
4755-M had been previously issued licenses by the Municipal a valid and reasonable exercise of police power and that the land
Mayor of Bocaue-petitioner Jose Torres III, since 1958; is taken for a public use as it is intended for the burial ground of
petitioner Vicente de la Cruz, since 1960; petitioner Renato paupers. They further argue that the Quezon City Council is
Alipio, since 1961 and petitioner Leoncio Corpuz, since 1972; 2. authorized under its charter, in the exercise of local police
That petitioners had invested large sums of money in their power, " to make such further ordinances and resolutions not
businesses; 3. That the night clubs are well-lighted and have no repugnant to law as may be necessary to carry into effect and
partitions, the tables being near each other; 4. That the discharge the powers and duties conferred by this Act and such
petitioners owners/operators of these clubs do not allow the as it shall deem necessary and proper to provide for the health
hospitality girls therein to engage in immoral acts and to go out and safety, promote the prosperity, improve the morals, peace,
with customers; 5. That these hospitality girls are made to go good order, comfort and convenience of the city and the
through periodic medical check-ups and not one of them is inhabitants thereof, and for the protection of property therein."
suffering from any venereal disease and that those who fail to
submit to a medical check-up or those who are found to be
infected with venereal disease are not allowed to work; 6. That On the other hand, respondent Himlayang Pilipino, Inc.
the crime rate there is better than in other parts of Bocaue or in contends that the taking or confiscation of property is obvious
other towns of Bulacan." 8 Then came on January 15, 1976 the because the questioned ordinance permanently restricts the use
decision upholding the constitutionality and validity of Ordinance of the property such that it cannot be used for any reasonable
No. 84 and dismissing the cases. Hence this petition for purpose and deprives the owner of all beneficial use of his
certiorari by way of appeal. property.

An ordinance was passed and is known and may be cited as the Issue: Whether or not the ordinance is valid as exercise of police
[Prohibition and Closure Ordinance] of Bocaue, Bulacan power

Issue: The crucial question posed by this certiorari proceeding Ruling: The ordinance in question not only confiscates but also
is whether or not a municipal corporation, Bocaue, Bulacan, prohibits the operation of a memorial park cemetery, because
represented by respondents, can, prohibit the exercise of a under Section 13 of said ordinance, 'Violation of the provision
lawful trade, the operation of night clubs, and the pursuit of a thereof is punishable with a fine and/or imprisonment and that
lawful occupation, such clubs employing hostesses. upon conviction thereof the permit to operate and maintain a
private cemetery shall be revoked or cancelled.'
Ruling: The decision now under review refers to Republic Act
No. 938 as amended. 17 It was originally enacted on June 20, There is no reasonable relation between the setting aside of at
1953. It is entitled: "AN ACT GRANTING MUNICIPAL OR CITY least six (6) percent of the total area of an private cemeteries for
BOARDS AND COUNCILS THE POWER TO REGULATE THE charity burial grounds of deceased paupers and the promotion
ESTABLISHMENT, MAINTENANCE AND OPERATION OF of health, morals, good order, safety, or the general welfare of
CERTAIN PLACES OF AMUSEMENT WITHIN THEIR the people. The ordinance is actually a taking without
RESPECTIVE TERRITORIAL JURISDICTIONS.' 1The power compensation of a certain area from a private cemetery to
granted remains that of regulation, not prohibition. benefit paupers who are charges of the municipal corporation.
Instead of building or maintaining a public cemetery for this
purpose, the city passes the burden to private cemeteries.
The municipal council shall enact such ordinances and make
such regulations, not repugnant to law, as may be necessary to
carry into effect and discharge the powers and duties conferred The expropriation without compensation of a portion of private
upon it by law and such as shall seem necessary and proper to cemeteries is not covered by Section 12(t) of Republic Act 537,
provide for the health and safety, promote the prosperity, the Revised Charter of Quezon City which empowers the city
improve the morals, peace, good order, comfort, and council to prohibit the burial of the dead within the center of
convenience of the municipality and the inhabitants thereof, and population of the city and to provide for their burial in a proper
for the protection of property therein." 10 It is practically a place subject to the provisions of general law regulating burial
reproduction of the former Section 39 of Municipal Code. 11 An grounds and cemeteries. When the Local Government Code,
ordinance enacted by virtue thereof, according to Justice Batas Pambansa Blg. 337 provides in Section 177 (q) that a
Moreland, speaking for the Court in the leading case of United Sangguniang panlungsod may "provide for the burial of the dead
States v. Abendan 12 "is valid, unless it contravenes the in such place and in such manner as prescribed by law or
ordinance" it simply authorizes the city to provide its own city
owned land or to buy or expropriate private properties to
construct public cemeteries. This has been the law and practise Ardona
in the past. It continues to the present. Expropriation, however,
requires payment of just compensation. The questioned
ordinance is different from laws and regulations requiring Facts: This is a petition for certiorari with preliminary injunction
owners of subdivisions to set aside certain areas for streets, challenging the constitutionality of Presidential Decree No. 564,
parks, playgrounds, and other public facilities from the land they the Revised Charter of the Philippine Tourism Authority, and
sell to buyers of subdivision lots. The necessities of public Proclamation No. 2052 declaring the barangays of Sibugay,
safety, health, and convenience are very clear from said Malubog, Babag and Sirao including the proposed Lusaran Dam
requirements which are intended to insure the development of in the City of Cebu and in the municipalities of Argao and
communities with salubrious and wholesome environments. The Dalaguete in the province of Cebu as tourist zones.
beneficiaries of the regulation, in turn, are made to pay by the
subdivision developer when individual lots are sold to home- The Philippine Tourism Authority filed four (4) Complaints with
owners. the Court of First Instance of Cebu City for the expropriation of
some 282 hectares of rolling land situated in barangays Malubog
Ortigas v Feati and Babag, Cebu City, under PTA's express authority "to
acquire by purchase, by negotiation or by condemnation
proceedings any private land within and without the tourist
Facts: On March 4, 1952, Ortigas sold Lot 5 and 6, Block 31 of zones" for the purposes indicated in Section 5, paragraph B(2),
the Highway Hills Subdivision at Mandaluyong to Augusto of its Revised Charter (PD 564), more specifically, for the
Padilla y Angeles and Natividad Angeles. The latter transferred development into integrated resort complexes of selected and
their rights in favour of Emma Chavez, upon completion of well-defined geographic areas with potential tourism value. As
payment a deed was executed with stipulations, one of which is uniformly alleged in the complaints, the purposes of the
that the use of the lots are to be exclusive for residential expropriation are:
purposes only. This was annotated in the Transfer Certificate of
Titles No. 101509 and 101511. Feati then acquired Lot 5 directly
from Emma Chavez and Lot 6 from Republic Flour Mills. On May xxx xxx xxx
5, 1963, Feati started construction of a building on both lots to
be devoted for banking purposes but could also be for residential V
use. Ortigas sent a written demand to stop construction but Feati
continued contending that the building was being constructed Plaintiff, in line with the policy of the
according to the zoning regulations as stated in Municipal government to promote tourism and
Resolution 27 declaring the area along the West part of EDSA development of tourism projects will construct
to be a commercial and industrial zone. Civil case No. 7706 was in Barangays Malubog, Busay and Babag, all
made and decided in favour of Feati. of Cebu City, a sports complex (basketball
courts, tennis courts, volleyball courts, track
Issue: Whether or not Resolution number 27 declaring Lot 5 and and field, baseball and softball diamonds, and
6 to be part of an industrial and commercial zone is valid swimming pools), clubhouse, gold course,
considering the contract stipulation in the Transfer Certificate of children's playground and a nature area for
Titles. picnics and horseback riding for the use of the
public.
Ruling: Resolution No. 27 prevails over the contract stipulations.
Section 3 of RA 2264 of the Local Autonomy Act empowers a The development plan, covering
Municipal Council to adopt zoning and subdivision ordinances approximately 1,000 hectares, includes the
or regulations for the Municipality. Section 12 or RA 2264 states establishment of an electric power grid in the
that implied power of the municipality should be “liberally area by the National Power Corporation, thus
construed in it’s favour”, “to give more power to the local assuring the supply of electricity therein for
government in promoting economic conditions, social welfare, the benefit of the whole community. Deep
and material progress in the community”. This is found in the wells will also be constructed to generate
General Welfare Clause of the said act. Although non- water supply within the area. Likewise, a
impairment of contracts is constitutionally guaranteed, it is not complex sewerage and drainage system will
absolute since it has to be reconciled with the legitimate exercise be devised and constructed to protect the
of police power, e.g. the power to promote health, morals, tourists and nearby residents from the
peace, education, good order or safety and general welfare of dangers of pollution.
the people. Resolution No. 27 was obviously passed in exercise
of police power to safeguard health, safety, peace and order and Complimentary and support facilities for the
the general welfare of the people in the locality as it would not project will be constructed, including public
be a conducive residential area considering the amount of traffic, rest houses, lockers, dressing rooms, coffee
pollution, and noise which results in the surrounding industrial shops, shopping malls, etc. Said facilities will
and commercial establishments. create and offer employment opportunities to
residents of the community and further
The only exceptions under Section 12 are existing vested rights generate income for the whole of Cebu City.
arising out of a contract between "a province, city or municipality
on one hand and a third party on the other," in which case the Plaintiff needs the property above described
original terms and provisions of the contract should govern. The which is directly covered by the proposed golf
exceptions, clearly, do not apply in the case at bar. court.

Issue: Whether or not the taking is for public use

Ruling: There can be no doubt that expropriation for such


traditions' purposes as the construction of roads, bridges, ports,
waterworks, schools, electric and telecommunications systems,
hydroelectric power plants, markets and slaughterhouses,
parks, hospitals, government office buildings, and flood control
or irrigation systems is valid. However, the concept of public use
is not limited to traditional purposes. Here as elsewhere the Idea
that "public use" is strictly limited to clear cases of "use by the
public" has been discarded.

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