Demetria vs Alba

Facts: Case is a petition for prohibition with a prayer for writ of preliminary injunction on the
constitutionality of paragraph 1 of Section 44 of the Budget Reform Bill of 1977 (PD 1177).
Petitioners are concerned citizens, as members of the National Assembly/Batasan Pambansa,
and taxpayers. Petitioners allege that said paragraph is unconstitutional based on the following:
1. That it authorizes the illegal transfer of public funds/moneys
2. That it fails to specify the objectives and purposes of the transferring of money
3. That it overrides the safeguards prescribed by the constitution in approving
appropriations
4. That it amounts to undue delegation of legislative powers to the executive
5. That said transfer of public funds or moneys are without or in excess of the authority and
jurisdiction of the president, and by the budget minister upon implementation
The Solicitor General then filed a comment, questioning the legal standing of the petitioners,
and he further contended that the provision under consideration was enacted pursuant to
Section 16(5), Article VIII of the 1973 Constitution. Then, Court required respondents to file a
rejoinder, and the Solicitor General filed the rejoinder with a motion to dismiss. The Court denied
the motion to dismiss on the grounds that they must take cognizance of the case to avoid great
disservice to national interest.
Issue: WON paragraph 1 of Section 44 of the Budget Reform Bill of 1977 is unconstitutional
Ruling: Yes it is unconstitutional because Paragraph 1 of Section 44 of the Budget Reform Bill of
1977 provides the following:
"The President shall have the authority to transfer any fund, appropriated for the different
departments, bureaus, offices and agencies of the Executive Department, which are included in
the General Appropriations Act, to any program, project or activity of any department, bureau,
or office included in the General Appropriations Act or approved after its enactment."
While Section 16(5), Article VIII of the 1973 Constitution only allows the transfer of funds to
augment any item in the general appropriations law from the savings of another appropriation.
The provision reads:
"Sec. 16[5]. No law shall be passed authorizing any transfer of appropriations, however, the
President, the Prime Minister, the Speaker, the Chief Justice of the Supreme Court, and the heads
of constitutional commissions may by law be authorized to augment any item in the general
appropriations law for their respective offices from savings in other items of their respective
appropriations."