THIRD DIVISION
G.R. No. 192943, August 12, 2015
UNITED DUMANGAS PORT DEVELOPMENT CORPORATION, Petitioner, v. PHILIPPINE PORTS AUTHORITY, ATTY. OSMAR M. SEVILLA, GENERAL MANAGER, ATTY. FERNANDO B. CLAVERINA, PORT MANAGER, PORT MANAGEMENT OFFICER-ILOILO; AND RAUL T. SANTOS, PORT DISTRICT MANAGER, PORT DISTRICT OFFICE-VISAYAS, Respondents.
D E C I S I O N
PERALTA, J.:
Before the Court is a petition for review on certiorari under Rule 45 of the Rules of Court seeking to reverse and set aside the Decision1 and Resolution,2 dated December 4, 2009 and July 1, 2010, respectively, of the Court Appeals (CA) in CA-G.R. SP No. 03293.
The antecedent facts are as follows:ChanRoblesvirtualLawlibrary
On December 1, 2000, respondent Philippine Ports Authority (PPA) granted petitioner United Dumangas Port Development Corporation (UDPDC) a permit to operate the cargo handling services at the Port of valid for one (1) year.3 Thereafter, PPA issued UDPDC several holders authorities to continue its services thereon. On May 28, 2003, PPA granted UDPDC a three (3)-month extension from June 1, 2003 to August 31, 2003. UDPDC, however, continued its operations even after the extension.4 Meanwhile, on July 14, 2005, PPA conducted a public bidding for the cargo handling services at the port wherein UDPDC did not participate despite notice.5 When the winning bidder was selected, the losing bidder filed an action, docketed as CA-G.R. SP No. 92950, to set aside the result of the public bidding.
On October 27, 2005, PPA served a notice upon UDPDC through PPA Memorandum Order No. 43-2005 stating that it will be taking over the cargo handling services at the port beginning on November 15, 2005. A day before the take-over, however, UDPDC sent PPA a letter-protest assailing the termination of their services.6cralawrednad
On November 18, 2005, UDPDC filed before the Regional Trial Court (RTC) of Dumangas, Iloilo, Branch 68, an Amended Petition7 for Certiorari and Prohibition with Prayer for the Issuance of Temporary Restraining Order and Writ of Preliminary Injunction challenging the PPA Memorandum Order No. 43-2005 and seeking an injunction against its implementation, docketed as Special Civil Action Case No. 05-024.
After granting the prayer for the issuance of a temporary restraining order, the RTC, in its Order8 dated December 5, 2005, issued a writ of preliminary injunction restraining the PPA from taking over the cargo handling operations until further orders. In a Resolution9 dated March 17, 2005, however, the trial court lifted the writ of preliminary injunction and dismissed the petition filed by UDPDC, agreeing with PPA's stance that as far as it was concerned, UDPDC's continued operation of the port was merely by its tolerance, having no valid and existing permit, and that UDPDC's status was merely on the basis of a holdover authority, temporary in nature, which may he recalled by PPA at any time.10cralawrednad
On March 27, 2006, UDPDC moved for the reconsideration of the dismissal of its petition.11 Thereafter, on March 29, 2006, the Municipality of Dumangas (MOD) filed a Petition-in-Intervention12 pursuant to a Memorandum of Agreement13 (MOA) entered into by respondent PPA, Project Management Office-Ports (PMO), Department of Transportation and Communications (DOTC), and Department of Interior and Local Government (DILG) on June 30, 1999 wherein the parties signified their commitment to strengthen the capability of Local Government Units (LGUs) to a planned and desirable sustainable feeder ports operation as well as PPA Administrative Order No, 02-9814 dated August 31, 1998 which provided for the devolution of port management functions from the PPA to the LGUs concerned.15 According to MOD, they already underwent training courses on feeder port operation and management at the PPA Training Center in preparation for the eventual transfer of the operation and management of the Dumangas Port thereto and as mandated by the Social Reform Related Feeders Port Development Project under the MOA. However, PPA, in taking over the Dumangas Port and conducting a public bidding for the management of the same, abandoned its duties arising from the MOA to support the port development project and to tum-over the operation of feeder or municipal ports to their respective LGUs.16 Respondent PPA countered that pursuant to Executive Order (EO) No. 171,17 promulgated on October 25, 1999, it rightfully had administrative jurisdiction over the expanded Dumangas Port Zone for the proper zoning, planning, development and utilization of the port.18cralawrednad
On March 16, 2007, the RTC issued an Order19 agreeing with UDPDC's assertion that instead of dismissing its petition, the trial court should have conducted a hearing to determine the issue of whether UDPDC could effectively be deprived of the equipment, facilities, properties and improvements it introduced on the Dumangas Port as a result of PPA's take over without due process of law and payment of just compensation. As to MOD's intervention, the RTC found that since the MOD had a valid legal interest in the matter in litigation which may be adversely affected, its intervention is proper. Thus, the trial court ordered the parties to file their respective memoranda.
On May 18, 2007, the RTC rendered a Decision20 finding that UDPDC has no more right to continue its operations at the port after the expiration of the series of extensions granted to it for it was allowed to do so by mere tolerance of PPA. However, it recognized that in the process of its operations, UDPDC had purchased heavy equipment and facilities and had introduced considerable improvements necessary for the efficient and effective operations therein. Thus, as law and equity demands, UDPDC should be reimbursed therefor because to allow the take-over of operations in the port without reimbursement would result in unjust enrichment at the expense of UDPDC.21 The trial court also noted the need for a hearing to determine the amount of equipment and improvements to be reimbursed and to give the parties a chance to present evidence in support of their respective claims.22cralawrednad
As to the claims of intervenor MOD, the RTC ruled that while President Joseph Ejercito Estrada had issued EO No. 171 on October 25, 1999 declaring the Dumangas Port Zone to be under the administration of the PPA, this was effectively rescinded by DOTC Department Order No. 2002-18 issued on April 15, 2002 entitled "Effecting the Direct Tum-Over of Completed Port Projects Implemented Under the Foreign-Assisted Nationwide Feeder Ports Development Program (NFPDP) to the Local Government Units" under the new administration of President Gloria Macapagal Arroyo. This is because according to the RTC, the official act of the DOTC Secretary in issuing said Department Order was deemed as an act of the President pursuant to the principle of qualified political agency.23 It is presumed that the action of the Secretary bears the implied sanction of the President absent any act subsequently made setting aside, disapproving or reprobating such department order of then DOTC Secretary.24 Thus, the mandate of DOTC Department Order No. 2002-18 to tum-over the Dumangas Port to MOD is controlling, having effectively rescinded EO No. 171. The RTC added that under the law, MOD enjoys a privileged position in terms of enhancing the principles of decentralization which provides adequate resources to LGUs to effectively carry out their functions and discharge their power to create and broaden their own sources of revenue and right to a just share in the proceeds of the national wealth within their respective areas. Moreover, under the Rules of Interpretation under Republic Act (RA) No. 7160 of the Local Government Code (LGC) of 1991, any provision on a power of an LGU shall be liberally interpreted in its favor.25cralawredcralawrednad
There is therefore no basis for the PPA to take over the operation of the cargo handling services at the Dumangas Port.
In view of the foregoing, the trial court ruled as follows:ChanRoblesvirtualLawlibrary
WHEREFORE, finding the Amended Petition dated November 17, 2005 of the United Dumangas Port Development Corporation (UDPDC) without merit, the same is hereby dismissed. On the other hand, finding the Complaint-in-Intervention and Supplemental Complaint-in Intervention of the Intervenor Municipality with merit, the same is granted. Thus, UDPDC is hereby ordered to deliver to the Intervenor Municipality of Dumangas, Iloilo the operation of the cargo handling services of the Port of Dumangas, after the Intervenor has reimbursed the UDPDC of the value of its development and improvements introduced in the Port and the value of its infrastructures and equipment used in the operation of the Port.
SO ORDERED.
WHEREAS, all costs of development and improvements introduced in the port of Dumangas were made by the national government and PPA;
WHEREAS, the LGU, in a letter to the PPA's General Manager dated 09 August 2007, inquired on the estimated value of the development and improvements introduced in the port of Dumangas and its estimated value of the infrastructure introduced and equipment used in its operation as outlined in the foregoing Decision;
WHEREAS, the PPA gave the total amount for the development and improvement introduced in the port of Dumangas as well as the infrastructures and equipment used in its operation at more or less PHP 111,930,282.28. (Annexes "B" & "C");
WHEREAS, in Sangguniang Bayan Resolution No. 2008-14, the LGU: (a) acknowledged that it has no financial capacity to reimburse the PPA the amount aforestated; (b) recognized that the PPA has the expertise and capacity to operate on its own, by contract or otherwise administer the port of Dumangas in line with the latter's specific mandate; and (c) authorized the Hon. Mayor Ronaldo B. Golez to enter into a compromise agreement with the PPA for the purpose of furthering the interests of the LGU and its constituents;
NOW, THEREFORE, in consideration of all the foregoing premises and of the stipulations, covenants and agreements, hereinafter set forth, the parties hereby mutually agree, as follows:ChanRoblesvirtualLawlibrary
1. The PPA shall continue to administer the port of Dumangas in Iloilo under Presidential Decree No. 857, as amended, Executive Order No. 171, Series of 1999, its policies, rules and regulations;
2. The LGU shall respect and honor any existing award, permit, contract or authority issued or to be issued by the PPA involving the operation and management of any services in the port of Dumangas;
3. The LGU, under such terms and conditions as may be mutually agreed upon by the parties, may manage and operate the port of Dumangas or jointly undertake projects and/or activities for the mutual benefit of both parties, the port users and the general public, subject to PPA's existing and applicable policies, rules and regulations;
4. The parties hereby waive their respective claims/ counterclaims against each other and shall jointly undertake the approval of this Compromise Agreement by the proper court;
5. This Compromise Agreement fully settles the claims of the parties against each other to their mutual satisfaction. Said agreement may be pleaded as an absolute and final bar to suit or suits or legal proceedings that may hereafter be initiated by either party, their assigns or subrogees, or anyone claiming by, through, or under them, against each other arising or relating to the transaction subject matter of the abovementioned case; x x x28
The issues before this Court anPPA's arguments on appeal as contained in its memorandum. This must be so because neither MOD not UDPDC appealed the court a quo's Decision. Hence, as to them, they can no longer assail the Decision.
PPA's memorandum argued: (a) MOD's intervention was filed late; (b) PPA was denied due process when it was not afforded an opportunity to file an answer to the MOD's petition-in-intervention; and (c) the MOD had no right to take over and manage the Port of Dumangas. PPA asked that it be declared the "appropriate agency to take over the operation of the cargo handling services of the Port of Dumangas" and the dismissal of UDPDC's petition be reinstated in toto. However, these arguments against MOD became moot when the latter and PPA executed a "Compromise Agreement" between them.
This Court sees nothing essentially wrong with the "Compromise Agreement" because it settles only the claims as between PPA and MOD. The matter of reimbursement remains outstanding in UDPDC's favor. But as agreed between PPA and MOD, the same must be settled by PPA - this must be so because MOD's principal motivation in seeking the "Compromise Agreement" was that it could not afford to pay for the facilities introduced in the Port of Dumangas, as unambiguously stated in the "Whereas" clause thereof. Clearly, the issue of reimbursement, as it is still alive, was shifted to PPA to resolve. While on this issue, there being allegations that the facilities at the Port of Dumangas were spent for by the national government and PPA itself, and there being a prayer by PPA that this Court dismiss outright UDPDC's petition, it behooves this Court to remand the instant case to the court a quo for a categorical declaration on two (2) essential points: (a) as to whose provenance the improvements at the Port of Dumangas should be rightfully credited: and (b) as to how much these facilities are worth for purposes of reimbursement, if at all.
The idea of settling cases on appeal is not at all unheard of, much less, irregular. After all, the stress on mediation and judicial dispute resolution on appeal has been one of the Supreme Court's programs on judicial reform. With a "Compromise Agreement" on the line that settles this case with two (2) of the principal protagonists emerging winners, and the third one not prejudiced as regards its rights and should also be therefore happy, this Court can do no less but approve it and cut-short the instant litigation.33
The representation by the Provincial Legal Office is couched in the permissive "may" as stated in Sec. 31 quoted above. The review of ordinances or resolutions is limited to those "approving the local development plans and public investment programs formulated by the local development councils." The "Compromise Agreement" is neither of these because it is obviously not a "local development plan" or a "public investment program." What do these two concepts mean? As explained by the Asian Development Bank, they are a "wish list" of projects for funding that are integrated into macro-economic plans, not the individual project concepts themselves:
x x x x
This Court cannot give credence to the Provincial Legal Office's arguments for to do so would run contrary to the autonomy of MOD as a local government unit. Its leaders who were represented in the "Compromise Agreement" were elected by the people of MOD, hence, their voice as to the direction of where the Port of Dumangas should be, is entitled to great weight and should not be lightly set aside - especially so if the opinion that is supposed to replace it is one coming from a non-tenured public officer and unelected at that. The distinction between MOD's duly elected leaders and the Provincial Legal Office should be clear enough to those who rightfully discern.
Indeed, the test as to when the Provincial Legal Office should continue representing the municipality concerned ought to be circumscribed by the tenets of a lawyer-client relationship, that is, the client's advantage. The Provincial Legal Office's assistance must be summoned, and summoned quickly, only when the client runs the risk of suffering from a case without due representation. Verily, it is a test of actual advantages or lack of them. Here, this Court sees nothing apparently prejudicial to MOD that would arise from the "Compromise Agreement." It actually relieves MOD of the burden of paying for the facilities at the Port of Dumangas by way of reimbursement because PPA would have to take care of it, if at all, but at the same time allows MOD the opportunity to manage and operate the port. Hence, there is no need for the Provincial Legal Office to insist on its representation of MOD. All in all, the "Compromise Agreement" should be a welcome development for the parties concerned.
WHEREFORE:ChanRoblesvirtualLawlibrary
(a) The "Motion to Recuse" is DENIED for lack of merit.
(b) The "Compromise Agreement" is APPROVED by this Court as it is not contrary to law, public policy and morals. It is the final and executory judgment in this civil case as between the Philippine Ports Authority and the Municipality of Dumangas.
(c) The matter of reimbursement of the value of the facilities at the Port of Dumangas is REMANDED to the court a quo for determination (a) as to whose provenance the improvements at the Port of Dumangas should be rightfully credited; and (b) as to how much these facilities are worth for purposes of reimbursement if at all.38
I.
THE COURT OF APPEALS SERIOUSLY AND GRAVELY ERRED IN APPROVING THE COMPROMISE AGREEMENT BETWEEN PPA AND PURPORTEDLY MOD DESPITE THE CLEAR FACT THAT IT: (1) IS CONTRARY TO LAW; (2) IS CONTRARY TO PUBLIC POLICY; (3) IS WITHOUT THE PROVENANCE AND APPROVAL OF THE PROPER AND LEGITIMATE AUTHORITY; (4) IS BASED ON A FINDING NOT SUPPORTED BY ANY EVIDENCE; AND (5) REVERSED, IF NOT MODIFIED, THE RTC DECISION JUDGMENT IN FAVOR OF PETITIONER UDPDC, A PARTY TO THE CASE BUT NOT TO THE COMPROMISE AGREEMENT.II.
THE COURT OF APPEALS SERIOUSLY AND GRAVELY ERRED IN TOTALLY IGNORING AND NOT RULING UPON THE ISSUE RAISED BY UDPDC, I.E. WHETHER OR NOT PPA HAS THE RIGHT TO ARBITRARILY AND WHIMSICALLY REVOKE AND CANCEL THE UDPDC'S HOLD-OVER PERMIT WITHOUT ANY CAUSE OR REASON, BUT UPON DICTATES OF A POWERFUL POLITICIAN IN THE FOURTH CONGRESSIONAL DISTRICT OF ILOILO.
Section 56. Review of Component City and Municipal Ordinances or Resolutions by the Sangguniang Panlalawigan.
(a) Within three (3) days after approval, the secretary to the sanggunian panlungsod or sangguniang bayan shall forward to the sangguniang panlalawigan for review, copies of approved ordinances and the resolutions approving the local development plans and public investment programs formulated by the local development councils.
(b) Within thirty (30) days after the receipt of copies of such ordinances and resolutions, the sangguniang panlalawigan shall examine the documents or transmit them to the provincial attorney, or if there be none, to the provincial prosecutor for prompt examination. The provincial attorney or provincial prosecutor shall, within a period of ten (10) days from receipt of the documents, inform the sangguniang panlalawigan in writing of his comments or recommendations, which may be considered by the sangguniang panlalawigan in making its decision.
(c) If the sangguniang panlalawigan finds that such an ordinance or resolution is beyond the power conferred upon the sangguniang panlungsod or sangguniang bayan concerned, it shall declare such ordinance or resolution invalid in whole or in part. The sangguniang panlalawigan shall enter its action in the minutes and shall advise the corresponding city or municipal authorities of the action it has taken.
(d) If no action has been taken by the sangguniang panlalawigan within thirty (30) days after submission of such an ordinance or resolution, the same shall be presumed consistent with law and therefore valid.
Consequently, in the 1980s many developing countries moved to rolling public investment plans, generally with the encouragement and along the recommendations of the World Bank. These rolling investment plans are usually named Public Investment Programs (PIP). They are widely used in aid-dependent countries, since one of their aims is to improve aid coordination, and are less common in middle-income countries. Recently, with the assistance of the World Bank and the European Union, PIPs have been newly introduced in a number of transition countries.
In some developing countries, a PIP became a simple wish list, used to attract aid from donors and international financial institutions, or even just to fulfill a formalistic requirement of Consultative Groups and other donor meetings.. Often such wish list is prepared hastily for the meetings with the assistance of external consultants and little genuine involvement of local officials. The role of these wish lists of project in the formulation of the budget is generally weal or nil. Worse, because these PIPs are shopping lists rather than programming tools, they invariably include a variety of weak, unsound, or undocumented project proposals. Even the marginal usefulness of these PIPs as documentation for a donor meeting is swamped by the risk of financing bad projects; by the implicit transfer of control over the development agenda from the government to the external donors; and by the generalized loss of credibility of the programming process. It would be better if they were not prepared at all (or externally requested).
One does not, however, dismiss an economic programming tool because it is often misused or abused in practice. The following discussion examines the utility of PIPs when they are genuine medium-term programs for public investment. If it is concluded that this tool is appropriate to a particular country, then it becomes necessary to assure that it is designed and used properly. In any case, the relatively large donor funding will either be appropriately programmed, in relation to the policy priorities of the recipient country, or still be distributed, but without any central scrutiny of project quality, consistency with policy, or coordination with the budgeting of domestic resources. A good PIP is aimed at ensuring five different (although interrelated) functions:
- improving economic management, to ensure that macroeconomic sector strategies are translated into programs and projects;
- improving aid coordination and channeling external resources to priority areas;
- strengthening the hand of the government in negotiating with external donors;
- assisting public financial management, by balancing (partial) commitments and resources over a multi-year framework; and
- strengthening the project cycle by providing a framework within which project preparation, implementation, and monitoring can occur.
Perhaps the most significant benefit that aid-dependent developing countries receive from good PIPs is that the process of PIP preparation itself gives an opportunity to review, and then integrate into the budget, aid-financed expenditures that were previously nonbudgeted. (As chapter 2 stressed, the budget should be comprehensive and should include all government expenditures, however financed.) PIP exercises contribute also to extending the horizon of financial programming and planning beyond the annual budget, and the perspective of policymakers in a more realistic way than previous five-year plans.
Finally, if conducted rigorously and with full local participation, the process can be an invaluable capacity-building tool, and a way to introduce financial discipline and the awareness of opportunity cost into the informal rules of the local bureaucracy. Finally, a good PIP process can set the stage for the eventual medium-term programming of all expenditure which is the optional way of incorporating the needed multi-year perspective in to the budget process.58
In connection with the foregoing, we likewise find no arbitrariness nor irregularity on the part of petitioner as far as PPA AO No. 03-2000 is concerned. It is worthwhile to remind respondent that petitioner was created for the purpose of, among other things, promoting the growth of regional port bodies. In furtherance of this objective, petitioner is empowered, after consultation with relevant government agencies, to make port regulations particularly to make rules or regulation for the planning, development, construction, maintenance, control, supervision and management of any port or port district in the country. With this mandate, the decision to bid out the cargo holding services in the ports around the country is properly within the province and discretion of petitioner which we cannot simply set aside absent grave abuse of discretion on its part. The discretion to carry out this policy necessarily required prior study and evaluation and this task is best left to the judgment of petitioner. While there have been occasions when we have brushed aside actions on the part of administrative agencies for being beyond the scope of their authority, the situation at the case at bar does not fall within this exception.
x x x x
In the case at bar, respondent sought the issuance of a writ for preliminary injunction in order to prevent the "cessation of cargo handling services in the port of Dumaguete City to the detriment and prejudice of the public, shipper, consignees and port workers." However, the factual backdrop of this case establishes that respondent's eight-year contract for cargo handling was already terminated and its continued operation in the port of Dumaguete City was merely by virtue of a second hold-over permit granted by petitioner through a letter dated 27 December 1999, the pertinent portion of which reads:This HOP extension shall be valid from January 18, 2000 up to April 18, 2000, unless sooner withdrawn or cancelled or upon the award of the cargo handling contract thru public bidding.By its nature, the hold-over permit was merely temporary in nature and may be revoked by petitioner at anytime. As we declared in the case of Anglo-Fil Trading Corporation, hold-over permits are merely temporary and subject to the policy and guidelines as may be implemented by petitioner. The temporary nature of the hold-over permit should have served as adequate notice to respondent that, at any time, its authority to remain within the premises of the port of Dumaguete City may be terminated. Unlike the contract for cargo handling services previously entered into by petitioner and respondent, whose terms and conditions were agreed upon by the parties herein and which clearly provided for a specific period of effectivity as well as a stipulation regarding the notice of violation, the hold-over permit was unilaterally granted by petitioner pursuant to its authority under the law.
Based on the foregoing, it is clear that at the time of the institution of this suit, respondent no longer possessed any contract for its continued operation in Dumaguete City and its stay in the port of said city was by virtue of a mere permit extended by petitioner revocable at anytime by the latter. Obviously, the writ of preliminary injunction issued by the Court of Appeals granted respondent the authority to maintain its cargo handling services despite the absence of a valid cargo handling agreement between respondent and petitioner. For this reason, we hold that the Court of Appeals erred in ordering the court a quo to issue the writ of preliminary injunction in favor of respondent.69
Endnotes:
* Designated Acting Member in lieu of Associate Justice Bienvenido L. Reyes, per Special Order No. 2112 dated July 16, 2015.
1 Penned by Associate Justice Amy C. Lazaro-Javier, with Associate Justices Rodil V. Zalameda, and Samuel H. Gaerlan, concurring; rollo, pp. 41-61.
2 Penned by Associate Justice Myra V. Garcia-Femandez, with Associate Justices Pampio A. Abarintos, and Ramon A. Cruz, concurring; id. at 63-66.
3 Id. at 41.
4 Id. at 42.
5 Id. at 42 and 227.
6 Id.
7 Id. at 77-84.
8 Penned by Assisting Judge Narciso M. Aguilar; id. at 85-87.
9 Id. at 141-144.
10 Id. at 143.
11 Id. at 145-151.
12 Id. at 157-159.
13 ld. at 503-506.
14 Id. at 496-502.
15 Id. at 157-158.
16 Id. at 158-159.
17 Entitled "Declaring and Delineating the Dumangas Port Zone under the Administrative Jurisdiction of the Philippine Ports Authority," October 25, 1999.
18Rollo, pp. 188-195.
19 Penned by Judge Roger B. Particio; id. at 204-212.
20 Id. at 223-240.
21 Id. at 240.
22 Id.
23 Id. at 236.
24 Id. at 237.
25cralawred Id. at 239.
26 Id. at 241-242.
27 Id. at 273-275.
28 Id at 274-275. (Emphasis ours)
29 Id. at 46.
30 Id. at 46 and 291-292.
31 Section 55 of the Local Government Code of 1991 provides:ChanRoblesvirtualLawlibrary
Section 55. Veto Power of the Local Chief Executive. -
(a) The local chief executive may veto any ordinance of the sanggunian panlalawigan, sangguniang panlungsod, or sanggunian bayan on the ground that it is ultra vires or prejudicial to the public welfare, stating his reasons therefor in writing.
(b) The local chief executive, except the punong barangay, shall have the power to veto any particular item or items of an appropriations ordinance, an ordinance or resolution adopting a local development plan and public investment program, or an ordinance directing the payment of money or creating liability. In such a case, the veto shall not affect the item or items which are not objected to. The vetoed item or items shall not take effect unless the sanggunian overrides the veto in the manner herein provided; otherwise, the item or items in the appropriations ordinance of the previous year corresponding to those vetoed, if any, shall be deemed reenacted.
(c) The local chief executive may veto an ordinance or resolution only once. The sanggunian may override the veto of the local chief executive concerned by two-thirds (2/3) vote of all its members, thereby making the ordinance effective even without the approval of the local chief executive concerned.
32 Section 56 of the Local Government Code of 1991 provides:ChanRoblesvirtualLawlibrary
Section 56. Review of Component City and Municipal Ordinances or Resolutions by the Sangguniang Panlalawigan.
(a) Within three (3) days after approval, the secretary to the sanggunian panlungsod or sangguniang bayan shall forward to the sangguniang panlalawigan for review, copies of approved ordinances and the resolutions approving the local development plans and public investment programs formulated by the local development councils.
(b) Within thirty (30) days after the receipt of copies of such ordinances and resolutions, the sangguniang panlalawigan shall examine the documents or transmit them to the provincial attorney, or if there be none, to the provincial prosecutor for prompt examination. The provincial attorney or provincial prosecutor shall, within a period of ten (10) days from receipt of the documents, inform the sangguniang panlalawigan in writing of his comments or recommendations, which may be considered by the sangguniang panlalawigan in making its decision.
(c) If the sangguniang panlalawigan finds that such an ordinance or resolution is beyond the power conferred upon the sangguniang panlungsod or sangguniang bayan concerned, it shall declare such ordinance or resolution invalid in whole or in part. The sangguniang panlalawigan shall enter its action in the minutes and shall advise the corresponding city or municipal authorities of the action it has taken.
(d) If no action has been taken by the sangguniang panlalawigan within thirty (30) days after submission of such an ordinance or resolution. the same shall be presumed consistent with law and therefore valid. (Emphases ours)
33Rollo, pp. 48-50. (Emphasis ours)
34 Section 31 of the Local Government Code of 1991 provides:ChanRoblesvirtualLawlibrary
Section 31. Submission of Municipal Questions to the Provincial Legal Officer or Prosecutor. - In the absence of a municipal legal officer, the municipal government may secure the opinion of the provincial legal officer, and in the absence of the latter, that of the provincial prosecutor on any legal question affecting the municipality. (Emphasis ours)
35Supra note 31.
36Supra note 32.
37 Section 481 of the Local Government Code of 1991 provides: Section 481. Qualifications, Terms, Powers and Duties.
(a) No person shall be appointed legal officer unless he is a citizen of the Philippines, a resident of the local government concerned, of good moral character, and a member of the Philippine Bar. He must have practiced his profession for at least five (5) years in the case of the provincial and city legal officer, and three (3) years in the case of the municipal legal officer.
The term of the legal officer shall be coterminous with that of his appointing authority.
The appointment of legal officer shall be mandatory for the provincial and city governments and optional for the municipal government.
(b) The legal officer, the chief legal counsel of the local government unit, shall take charge of the office of legal services and shall:
(1) Formulate measures for the consideration of the sanggunian and provide legal assistance and support to the governor or mayor, as the case may be, in carrying out the delivery of basic services and provisions of adequate facilities as provided for under Section 17 of this Code;
(2) Develop plans and strategies and upon approval thereof by the governor or mayor, as the case may be, implement the same, particularly those which have to do with programs and projects related to legal services which the governor or mayor is empowered to implement and which the sanggunian is empowered to provide for under this Code;
(3) In addition to the foregoing duties and functions, the legal officer shall:
(i) Represent the local government unit in all civil actions and special proceedings wherein the local government unit or any official thereof, in his official capacity, is a party: Provided, That, in actions or proceedings where a component city or municipality is a party adverse to the provincial government or to another component city or municipality, a special legal officer may be employed to represent the adverse party;
(ii) When required by the governor, mayor or sanggunian, draft ordinances, contracts, bonds, leases and other instruments, involving any interest of the local government unit and provide comments and recommendations on any instrument already drawn;
(iii) Render his opinion in writing on any question of law when requested to do so by the governor, mayor or sanggunian;
(iv) Investigate or cause to be investigated any local official or employee for administrative neglect or misconduct in office, and recommend appropriate action to the governor, mayor or sanggunian, as the case may be;
(v) Investigate or cause to be investigated any person, firm or corporation holding any franchise or exercising any public privilege for failure to comply with any term or condition in the grant of such franchise or privilege, and recommending appropriate action to the governor, mayor or sanggunian, as the case may be;
(vi) When directed by the governor, mayor, or sanggunian, initiate and prosecute in the interest of the local government unit concerned any civil action on any bond, lease or other contract upon any breach or violation thereof; and
(vii) Review and submit recommendations on ordinances approved and execute orders issued by component units;
(3) Recommend measures to the sanggunian and advise the governor or mayor as the case may be on all other matters related to upholding the rule of law;
(4) Be in the frontline of protecting human rights and prosecuting any violations thereof, particularly those which occur during and in the aftermath of man-made or natural disasters or calamities; and
(5) Exercise such other powers and perform such other duties and functions as may be prescribed by law or ordinance. (Emphasis ours)
38Rollo, pp. 53-61. (Emphases ours)
39 Id. at 430-445.
40 Id. at 450-458.
41 Id. at 63-66.
42 Id. at 22-23.
43 Id. at 24.
44Supra note 35.
45Rollo, p. 27.
46Supra note 36.
47Supra note 39.
48 Citing Municipality of Pililia, Rizal v. CA, G.R. No. 105909, June 28, 1994, 233 SCRA 484, 491; see also Mancenido v. CA, 386 Phil. 627 (2000); Alinsug v. RTC, Br. 58, San Carlos City, Neg. Occ., G.R. No. 108232, August 23, 1993, 225 SCRA 553, 557; Ramos v. CA, et al., 195 Phil. 536, 541 (1981); Province of Cebu v. lAC, 231 Phil. 397, 406 (1987).
49Rollo, p. 25.
50 Id. at 28.
51 617 Phil. 89, 108 (2009).
52Rollo, pp. 550-552.
53 Id. at 552-554.
54 Id. at 555.
55 Id. at 557, citing Harold v. Aliba. 560 Phil. 728, 735 (2007).
56Rollo, pp. 563-564.
57 Id. at 558.
58 Id. at 53-55.
59 Id. at 53.
60 Section 444. The Chief Executive: Powers, Duties, Functions and Compensation. x x x
(b) For efficient, effective and economical governance the purpose of which is the general welfare of the municipality and its inhabitants pursuant to Section 16 of this Code, the municipal mayor shall:ChanRoblesvirtualLawlibrary
(1) Exercise general supervision and control over all programs, projects, services, and activities of the municipal government, and in this connection, shall:ChanRoblesvirtualLawlibrary
(vi) Upon authorization by the sangguniang bayan, represent the municipality in all its business transactions and sign on its behalf all bonds, contracts, and obligations, and such other documents made pursuant to law or ordinance;
61Spouses Yusay v. Court of Appeals, 662 Phil. 634, 643 (2011 ).
62Rollo, pp. 563-564.
63 Id. at 573.
64 Id. at 493-495.
65 Id. at 503.
66 Id. at 515-521.
67Judge Angeles v. Han. Gaile, G.R. No. 165276, November 25, 2009, 605 SCRA 408, 415, citing Villena v. Secretary of Interior, 67 Phil. 451, 463 (1939).
68 501 Phil. 646 (2005).
69Philippine Ports Authority v. Cipres Stevedoring & Arrastre, Inc., supra, at 663-665. (Emphases ours)