DOJ Opinion No. 165, s. 1992

DOJ OPINION NO. 165 , s. 1992 November 24, 1992 Hon. Leandro B. Verceles, Jr. House of Representatives Quezon City Sir : This has reference to your request for opinion concerning the validity of Resolution No. 92-066 entitled, "Resolution Requiring Private Contractors To Be Accredited First With The Sangguniang Panlalawigan Before They Can Be Qualified or Allowed To Participate In Public Biddings Of Government Projects In Catanduanes" approved by the Sangguniang Panlalawigan of Catanduanes on August 14, 1992. You state that the resolution requires not only the accreditation of private contractors before they can participate in the bidding of public projects but also the payment of 10% percentage tax to the province. It is your view that the Sangguniang Panlalawigan is not vested with the power of accreditation or collection of percentage taxes under the Local Government Code of 1991. We regret, this Department is constrained to refrain from rendering opinion on the matter. In line with established precedents, the Secretary of Justice does not pass upon the validity of duly enacted legislative acts of local governments which are presumed valid and enforceable unless declared otherwise by the competent court or superseded or repealed by the lawmaking authority (Sec. Of Justice Op. No. 152, s. 1984; No. 302, s. 1956). Although the Secretary of Justice has, pursuant to the pertinent provisions of the Local Government Code of 1991, the authority to decide any question involving the constitutionality or legality of tax ordinances or revenue measures the same should be raised to the Secretary of Justice within thirty days from the effectivity thereof. In connection therewith, attention is invited to the provisions of Section 187 and 188 of the Local Government Code, which read: SEC. 187. Procedure for Approval and effectivity of Tax. Ordinances and Revenue Measures; Mandatory Public Hearings . The procedure for approval of local tax ordinances and revenue measures shall be in accordance with the provisions of this code; Provided , that public hearings shall be conducted for the purpose prior to the enactment thereof: Provided, further , That any question on the constitutionality or legality of tax ordinances or revenue measures may be raised on appeal within thirty (30) days from the effectivity thereof to the Secretary of Justice who shall render a decision within sixty (60) days from the date of receipt of the appeal: Provided, however , That such appeal shall not have the effect of suspending the effectivity of the ordinance and the accrual and payment of tax, fee, or change levied therein: Provided, finally, That within thirty (30) days after receipt of the decision or the lapse of the sixty-day period without the Secretary of Justice acting the appeal, the aggrieved party may file appropriate proceedings with a court of competent jurisdiction." (Emphasis supplied) "SEC. 188. Publication of Tax Ordinances and Revenue Measures . Within ten (10) days after their approval, certified true copies of all provincial, city, and municipal tax ordinances or revenue measures shall be published in full for three (3) consecutive days in a newspaper of local circulation: Provided, however , that in provinces, cities and municipalities where there are no newspaper of local circulation, the same may be posted in at least two (2) conspicuous and publicly accessible places." Also, for your information and guidance, attached herewith is a copy of Department of Justice Circular No. 21 dated July 15, 1992 prescribing the Rules and Procedure governing appeals questioning the constitutionality or legality of tax ordinance or revenue measures of local government units under Section 187 of Republic Act No. 7160, the Local Government code of 1991. Very truly yours, (SGD.) FRANKLIN M. DRILON Secretary