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Republic of the Philippines

DEPARTMENT OF THE INTERIOR AND LOCAL GOVERNMENT


A. Francisco Gold Condominium ll Bldg, EDSA
corner Mapagmahal St., Diliman, Quezon City

LEGAL SERVICE
opinion ao. 85 S. 20lO
02 lune 2010

MR. MANUEL R. KONG


794 M. Ortiz, Barangay Washington
Surigao City

Dear Mr. Kong:

This has reference to your earlier letter asking the Department's legal
opinion relative to the passage of an ordinance providing for a supplemental
budget of a province.

According to you, the Sangguniang Panlalawigan approved an ordinance


providing for a supplemental budget of a province. As part of the supplementa
budget, a P20 million loan was included as new source of income and for the
corresponding expenditures, which the treasurer and budget officer assured the
sanggunian its availability as the bank has given them the assurance and has in
fact submitted already all the documents required.
Local Government Code of 1991 (RA
In relation to Section 321 of the
7160), you are now asking this Depaftment's legal opinion on the followinq and
we quote:
' 'r) What does this paragraph (Section 321 of the Local
Government Code) rcquires ?
9) What the law nalrets intended +vhen this has been
drafted and discussed Ibr enactntent?
3) What is the implication il'the local treasurer would
not cet'tity that the litnds actually available, or in the supplemental
budget itself sttbmitted, no attachnrcnt lns been made to the elfect?
4.) Does thc logieal thinking ol'the treasurel that the
bank approved the loan by principle and submitted the bank
requirenrcnt should be interpreted as FUNDS ACTUALLY
AVAILABLE even in the absence ol'approved loan contract fi'om
the sanggunian?"

reply thereto, since your aforequoted queries stemmed from the


In
passage of the Ordinance providing for the Supplemental Budget of a Province
and considering further that said Ordinance has already been approved by the
Sangguniang Panlalawigan, we are of the view that the same should be accorded
the presumption of validity unless declared otherwise by our courts of justice.
Any issues or questions thereon relative to its non-compliance with the
substantive requirements in the passage of a Supplemental Budget under Section
321 of the Local Government Code of 1991 should already be threshed out by
filing a special civil action for Declaratory Relief before the proper couft in
accordance with Section 1, Rule 63 of the Revised Rules of Coutt, which provides
that:
-2-
'SECTION 1. UIho may file petition.-any persotr
interested under a deed, will, contract or other written
instrument, or whose rights are affected by a statutory
executive order or regulation, or ordinance may, before breach
or wiolatlon thereof, bring an action in the appropriate
Regional trlal Court to determine any question of
constructlon or validity arising, and for a declaration of his
rights or duties thereunder."
I nank you and warm regards.

Very truly yours,

BY AUTHORMY OF THE SECRETARY:

B. DOQUE tV
Director III
Lsl'17

I
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