Bureau of Local Government Finance Opinion

June 20, 2002 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION Mr. Eligio R. de Leon Councilor Committee on Commerce and Industry Siniloan, Laguna Sir : This refers to your letter dated November 8, 2001 requesting opinion, guidelines, policies, circulars, memoranda regarding adjudication of market stalls. Representations are made that the reconstruction of the Siniloan Public Market (unit section) which was completed in October 1999, has led to a complaint by Stall Holders (Fish Vendors) Lilibeth Eleria and Dorotea S. Acelajado, having been deprived of their original stall position/assignments despite having consistently expressed their interest in maintaining their rights to such positions. That Office further mentioned that prior hearings conducted by the Committee on Commerce and Industry revealed that re-assignments and redistribution of fish stalls were carried out through the discretion of then President of Fish Vendors Association Mr. Eladio Rellosa, and that based on a joint report by the former Committee on Commerce and Trade and Industry together with the Market Awards Committee dated November 3, 1999, Mr. Rellosa earned such discretion through a majority vote by the fish vendors but the consensus on giving such discretion to Mr. Eladio Rellosa, however deviates from the system adopted by the meat and vegetable vendors to which the old stall holders retained their rights with their original status and the available new stalls were assigned to new applicants through drawing of lots. Hence, the above complaint. HDAaIc In view thereof, a Sangguniang Bayan Resolution dated November 29, 1999 was passed confirming the awarding of stalls for the meat, chicken, carinderia, vegetables and sari-sari store, and fish sections except for the 30 stalls owned by the 30 old fish vendors including stalls which are subject of the petitions/complaints. Hence, the above request. In this connection, please be informed that upon the approval of the Local Government Code (LGC) of 1991, local government units shall enjoy full autonomy in the operation and management of their economic enterprises, such as public markets, pursuant to the provisions of Section 447 (a) (5) (ii) of the said Code, quoted as follows: "Sec. 447. Powers, Duties, Functions and Compensation . (a) The sangguniang bayan, as the legislative body of the municipality, shall enact ordinances, approve resolutions and appropriate funds for the general welfare of the municipality and its inhabitants pursuant to Section 16 of this Code and in the proper exercise of the corporate powers of the municipality as provided for under Section 22 of this Code, and shall: acADIT "(1) . . . "(5) Approve ordinances which shall ensure the efficient and effective delivery of the basic services and facilities as provided for under Section 17 of this Code, and in addition to said services and facilities, shall: "(i) . . . "(ii) Establish markets, slaughterhouses or animal corrals and authorize the operation thereof, and regulate the construction and operation of private markets, talipapas or other similar buildings and structures; "xxx xxx xxx" In view of the above provisions, it is clear that the Sangguniang Bayan is the one empowered thru an ordinance to set the guidelines regarding the adjudication of market stalls and regulation thereof. However, in case the Sangguniang Bayan thereat has not yet enacted a resolution setting forth the guidelines regarding the operations of municipal public markets, including the Committee on Adjudication of Market Stalls or Booths, the provisions of Provincial Circular No. 22-73 dated September 7, 1973 of the Department of Finance which are not inconsistent with the provisions of the new Code shall subsist and remain in force in order that the operations of the municipal market may not be unduly disrupted. HaIATC Very truly yours, (SGD.) JUANITA D. AMATONG Undersecretary and Officer-in-Charge, BLGF <www.blgf.gov.ph/downloads/opinion/localtax/2002/a2001-1110.pdf> last visited January 14, 2014.