[Lopez] G.R. No.
.R. No. 137718 January 28, 2000 continue until fully spent, reverted, or the project for which it
REYNALDO MALONZO, as City Mayor of Caloocan, OSCAR
MALAPITAN, as Vice Mayor of Caloocan, et. al., petitioners vs. HON.
RONALDO B. ZAMORA, Executive Secretary, et. al., respondents
Topic: Legislative Power
Doctrine:
Facts:
1. This is a motion for reconsideration filed by respondents for the SCs
July 27 1999 decision where SC held that the Office of the
presidents decision be set aside.
2. In the July 27 1999 decision, the Office of the President (OP),
through Zamora, declared petitioners (Mayor + Vice-Mayor +
members of Sangguniang Panlungsod) guilty of misconduct and was
suspended for 3 months.
3. The OP, in finding the petitioners guilty, held that:
a. The P39,352,047.75 appropriated in Ordinance 0254 to fund
the expropriation of Lot 26 of the Maysilo Estate was merely
a portion of the P50 million included and appropriated in the
1998 Annual Budget for expropriation purpose and the
judicial action for expropriation was still pending with the
court. This being so, the amount allocated for the
expropriation cannot be reverted to or be deemed as savings
to serve as funds actually available for the supplemental
budget.
b. Based on Sec. 3221 of the LGC, Ordinance No. 0254, S.
1998 could not have lawfully realigned the amount of
P39,352,047.75 which was previously appropriated for the
expropriation of Lot 26 of the Maysilo Estate since such
appropriation was in the nature of a capital outlay, and shall
1
"SEC. 322. Reversion of Unexpended Balances of Appropriations, Continuing
Appropriations - Unexpended balances of appropriations authorized in the annual
appropriations ordinance shall revert to the unappropriated surplus of the general
funds at the end of the fiscal year and shall not thereafter be available for expenditure
except by subsequent enactment. However, appropriations for capital outlays
shall continue and remain valid until fully spent, reverted or the project is
completed. Reversions of continuing appropriations shall not be allowed
unless obligations therefor have been fully paid or settled."
2 available
All budgetary proposals shall be included and considered in the budget preparation
process. After the local chief executive concerned shall have submitted the executive
budget to the sanggunian, no ordinance providing for a supplemental budget shall be
is earmarked is completed.
4. On March 1999, petitioners filed with the SC a petition assailing OPs
decision. The SC granted such petition and annulled the OPs
decision for having been rendered with GADALEJ.
5. The respodnents argue that:
a. the sum of P39,352,047.75 which was appropriated through
Ordinance 0246, S. 1997 was part of the P 50,000,000
allotted for Expropriation of Propterties under the Current
Operating Expenditures of the annual budget.
b. Ordinance 0254, S. 1998 was passed without funds actually
available, as there was no unavoidable discontinuance or
an abandonment of the work or activity as provided in Sec.
3212, since the expropriation case was not actually
withdrawn, suspended discontinued or abandoned.
c. Ordinance 0254 was enacted without sufficient compliance
with the requirement of Sec. 50 of the LGC, requiring the
house rules be adopted or updated.
d. There was undue haste in conducting the three readings of
Ordinance 0254
Issue:
Held:
enacted, except when supported by funds actually available as certied by the local
treasurer or by new revenue sources.
A supplemental budget may also be enacted in times of public calamity by way of
budgetary realignment to set aside appropriations for the purchase of supplies and
materials or the payment of services which are exceptionally urgent or absolutely
indispensable to prevent imminent danger to, or loss of, life or property, in the
jurisdiction of the local government unit or in other areas declared in a state of
calamity by the President. Such ordinance shall clearly indicate the sources of funds
for appropriations, as certied under oath by the local treasurer and local accountant
and attested to by the local chief executive, and the various items of appropriations
affected and the reasons for the change