Case Summary (G.R. No. L-23825)
Petitioner's Legal Contentions
Pelaez contended that Section 68, insofar as it authorizes presidential creation of municipalities, is void because:
- It was implicitly repealed by Republic Act 2370, which denies the President the power even to create barrios.
- It represents an unconstitutional delegation of legislative power, as municipal creation is “strictly a legislative function.”
Respondent’s Preliminary Objections
The Auditor General urged that:
- The action was premature, since no audit action had yet been taken.
- Not all indispensable parties—namely, newly created municipal officials—had been impleaded.
Legislative Framework for Barrio and Municipality Creation
Republic Act 2370’s Section 3 prohibits creation or alteration of barrio boundaries except by Act of Congress or provincial board resolution on majority‐vote petition and two-thirds municipal council recommendation. Barrios existing before the Act fall under its regime, meaning that since 1960 the President lacks power to create or modify barrios.
Implied Limits on Municipal Creation
Petitioner argued that if the President cannot create barrios—the constituent units of municipalities—then, a fortiori, he cannot establish new municipalities composed of those barrios. Respondent’s theory that creation merely reassigns existing barrios to new municipalities ignores the fundamental grant of legislative power embodied in municipal incorporation.
Nature of Municipal Incorporation as Legislative Power
The Court reaffirmed prevailing jurisprudence: the power to create, merge, divide, or abolish municipal corporations is “essentially legislative in character,” not merely administrative. Unlike boundary adjustments between existing units, the act of incorporation creates new political entities and confers corporate existence, functions, and public duties by law.
Doctrine of Nondelegation and Required Standards
Under separation-of-powers principles, Congress may delegate execution or administrative detail but must:
- Declare the underlying policy to be executed.
- Fix sufficiently definite standards to constrain the delegate’s discretion.
Section 68 contains no legislative policy statement governing incorporation, nor any precise standard other than the vague term “public welfare,” insufficient to delimit executive discretion in creating municipalities.
Inconsistency with the 1935 Constitution
Article VII, Section 10(1) of the 1935 Constitution limits presidential power to “general supervision” over local governments “as provided by law” and to ensure faithful execution of laws. The power to create or abolish municipalities implies a degree of control over local officers that the Constitution explicitly withheld from the E
Case Syllabus (G.R. No. L-23825)
Factual Background
- From September 4 to October 29, 1964, the President issued Executive Orders Nos. 93–121, 124, and 126–129 creating thirty-three new municipalities.
- These municipalities spanned several provinces, including Zamboanga del Sur, Antique, Misamis Oriental, Surigao del Sur, Davao, Iloilo, Lanao del Sur, Mt. Province, Oriental Mindoro, Cotabato, Zamboanga del Norte, Bukidnon, Surigao del Norte, and Cotabato.
- The orders purported authority under Section 68 of the Revised Administrative Code, defining boundaries and creating political subdivisions by executive action.
Petition and Relief Sought
- On November 10, 1964, Emmanuel Pelaez, as Vice-President and taxpayer, filed a special civil action for a writ of prohibition with preliminary injunction.
- He sought to restrain the Auditor General from passing in audit any public-fund expenditure or disbursement by the newly created municipalities under the contested executive orders.
- Pelaez alleged the orders were null and void because Section 68 had been implicitly repealed by Republic Act 2370 and amounted to an undue delegation of legislative power.
Procedural History
- The Auditor General moved to dismiss as premature and for failure to implead proper parties, particularly local officials of the new subdivisions.
- Several affected municipal mayors intervened, contesting the loss of barrios by their parent municipalities.
- Attorneys Enrique M. Fernando and Emma Quisunibing-Fernando appeared as amici curiae, offering legal perspectives.
Legal Framework under Republic Act No. 2370
- Section 3, third paragraph: “Barrios shall not be created or their boundaries altered nor their names changed except under the provisions of this Act or by Act of Congress.”
- First two paragraphs: Existing barrios come under the Act; new barrios or name changes require a majority-voter petition, municipal council recommendation (two-thirds approval), and provincial board action.
- The Act took effect January 1, 1960, establishing strict procedures for barrio creation and boundary alteration.
Presidential Authority under Section 68 of the Revised Administrative Code
- Section 68 grants the President power to define or alter boundaries of provinces, subprovinces, municipalities, municipal districts, or other political subdivisions by executive order.
- The President may create, merge, or divide subdivisions, name new ones, and change seats of government as public welfare requires, subject to prior Congressional authorization for provincial changes.
- The Auditor General must recommend equi