Title
Supreme Court
Civil Service Commission vs. Department of Budget and Management
Case
G.R. No. 158791
Decision Date
Jul 22, 2005
CSC challenged DBM's "no report, no release" policy, claiming it violated fiscal autonomy. Supreme Court ruled in CSC's favor, mandating automatic fund release for constitutional bodies.

Case Digest (G.R. No. 158791)
Expanded Legal Reasoning Model

Facts:

  • Parties and relief sought
    • Civil Service Commission (CSC) filed a petition for mandamus to compel the Department of Budget and Management (DBM) to release the unreleased balance of its FY 2002 budget.
    • Under the General Appropriations Act (GAA) of 2002, P215,270,000.00 was appropriated for CSC’s Central Office; total allocations from all sources amounted to P285,660,790.44; actual releases were P279,853,398.14; leaving an unreleased balance of P5,807,392.30.
  • Basis of withholding
    • DBM applied a “no report, no release” policy pursuant to National Budget Circular No. 478 (Sections 3.8–3.10, 7.0).
    • Required documents included:
      • Annual Cash Program requests for SARO and NCA releases
      • Summary List of Checks Issued and Cancelled
      • Statement of Allotment, Obligations and Balances
      • Monthly Statement of Charges to Accounts Payable
      • Quarterly Report of Actual Income
      • Quarterly Financial Report of Operations
      • Quarterly Physical Report of Operations
      • FY 2001 Preliminary and Final Trial Balances
      • Statement of Accounts Payable
  • Petitioner’s contentions
    • The “no report, no release” policy, as applied to an independent constitutional commission, violates the principle of fiscal autonomy under Article IX(A), Section 5 of the Constitution.
    • CSC sought not only mandamus relief but also a definitive ruling on the extent of fiscal autonomy of constitutional bodies.
  • Respondent’s defenses
    • Procedural: failure to exhaust administrative remedies; improper invocation of Supreme Court original jurisdiction.
    • Merits: denial of strict enforcement of the policy against autonomous offices; reliance on the Supreme Court’s June 3, 1993 Resolution in A.M. No. 92-9-029-SC (prohibiting “no report, no release” for the Judiciary); asserted release delay due to a revenue shortfall.

Issues:

  • Procedural issues
    • Whether CSC was required to exhaust administrative remedies before filing the petition.
    • Whether CSC properly invoked the Supreme Court’s original jurisdiction.
  • Substantive issues
    • Whether the “no report, no release” policy may validly be imposed on constitutional commissions enjoying fiscal autonomy.
    • Whether a shortfall in national revenues justifies withholding or impounding approved appropriations of autonomous bodies.
    • Whether appropriations for constitutional commissions cannot be reduced by Congress below the previous year’s level.

Ruling:

  • (Subscriber-Only)

Ratio:

  • (Subscriber-Only)

Doctrine:

  • (Subscriber-Only)

Analyze Cases Smarter, Faster
Jur is a legal research platform serving the Philippines with case digests and jurisprudence resources.