CHAPTER II CREATION, ESTABLISHMENT AND ABOLITION OF ADMINISTRATIVE AGENCIES What is the nature (in General) of Administrative Agencies?

y Admin agency is an indefinite and generic term and covers boards, commission, departments and divisions and somewhat less familiar designations of office and authority. It may even cover a single officer. Used to describe an agency exercising some significant combinations of executive, legislative, and judicial powers. Some assert that administrative is the 4th power of govt. Viewed from the standpoint of any particular act of the agency:  It is either executive or in the narrowest sense administrative, or legislative, or judicial, or,  To distinguish it from organs which are purely or essentially legislative or judicial, quasi-legislative or quasi-judicial. Some partake of the nature of public agencies acting in the public interests, and their jurisdiction is dependent upon the existence of a public interest, since they are not tribunals for the enforcement of private rights. Mere fact that a statute setting up a commission, does not itself render the commission a court even if:  The rules of procedure adopted by such commission provide a mode of procedure conforming in many respects to the regular practice of the court, or  The commission possess or exercises powers and functions resembling those exercised by the courts

Some are bodies corporate with legal capacity to sue and be sued in the courts and were held to constitute legal entities with perpetual existence apart from their members. Others are without independent existence but are merely regarded as instrumentalities of the government or political divisions thereof.

What is an Administrative Agency? y It is an organ of government, other than a court and other than a legislature, which affects the rights of private parties through either adjudication or rule making. It may be called a commission, board, bureau, office administrator, department, authority, corporation, administration, division or agency.

How are administrative agencies Created? They are created whether individual orinstitutional by: 1) Constitutional Provisions  E.g.: CSC, COMELEC, COA 2) Legislature in legislative enactments  E.g. : Bureau of Customs, BIR, NLTC,PRC, Court of Agrarian Relations, Phil.Patent Office, SEC, Board ofTransportation, Social SecurityCommission, BSP, National GrainsAuthority 3) Authority of law  Under various govt reorganization acts, the President and the Govt Survey andReorganization Commission had beenauthorized and had in fact createdadministrative offices and agencies in thecourse of the reorganization of the executive branch of the govt.  E.g.: defunct Board of Tax Appeals andRegional Offices of the DOLE. What are the Purposes of AdministrativeAgencies? 1) To dispense certain privileges accorded by thegovt; 2) To carry on governmental business or functions; 3) To carry on or undertake some business servicefor the public; 4) To regulate certain public callings or businessaffected with public interest; 5) To promote the general welfare through policeregulations

What are some limitations of Admin agencies acting as a court? y Administrative agencies:  CANNOT exercise PURELY judicial functions,  Do NOT have the inherent powers of a court,  Are NOT bound in their proceedings by all the rules applicable to proceeding in court.

What are other natures of Admin agencies? y Some are deemed to be agents of the legislative branch of the government and not of the executive branch. Some on the other hand are deemed as agents of the executive, or described as executive or administrative agencies.

6) To determine rights of individuals in certaincases where a strong social policy is involved. What are Common Types of AdministrativeAgencies? 1) Agencies created in situations wherein thegovernment is offering some gratuity, grant, orspecial privilege y E.g.: Phil. Veterans board (defunct), Boardon pensions for Veterans, NARRA,Philippine Veterans Administration

 Fixes its authority and procedure;  Determines the size of its personnel andstaff;  Exercises continuing surveillance over itsactivities;  May investigate its operations for remedialor corrective legislation Legislature is more and more in favor ofenacting statutes in broad and general wordingand leaving details thereof to administrativeagencies to fill by rules, orders, regulations andthe like.

2) Agencies set up to function in situations wherein the govt is seeking to carry on certain govtfunctions. y E.g.: Bureau of Immigration, BIR, Board ofSpecial Inquiry, Board of Commissioners,CSC, BSP

How are Administrative Agencies Reorganizedand Abolished? y Experimentation is frequent in the field ofadministration, and particular admin agenciesare sometimes:  Abolished and new ones created embodyingthe fruits of experience;  Reorganized or their functions transferred toother agencies. Congress has at various times vested powers inthe President to reorganize executive agenciesand redistribute functions and the transfers madeunder such are held by the SC to be within theauthority of President. Any doubt as to the authority granted to thePresident and the due exercise thereof, isdetermined by congressional approval andratification in subsequently recognizing thevalidity of the transfer by making appropriationsfor the purpose of carrying out the transferredfunction. Constitutionally created admin agencies cannotbe abolished by statute, while admin agenciescreated by statute or through the authority of a statute may be validly abolished and reorganizedby the legislature.

3) Agencies set up to function in situations whereinthe govt is performing some business service forthe public y E.g.: Bureau of Posts, Postal Savings Bank,MWSS, Phil National Railways, CivilAeronautics Administration y

4) Agencies set up to function in situations wherein the govt is seeking to regulate business affectedwith public interests y E.g.: Fiber Inspection Board, Phil Patent Office, Office of the Insurance Commissioner

5) Agencies set up to function in situations wherein the govt is seeking under the police power toregulate private business and individuals y E.g.: SEC, Board of Food Inspectors,MTRCB, PRC

6) Agencies set up to function in situations wherein the govt is seeking to adjust individualcontroversies because of some strong socialpolicy involved y E.g.: NLRC, Court of Agrarian Relations,the Regional Offices of DOLE, the SocialSecurity Commission, Bureau of Labor Standards, Women and Minors Bureau.

What is the degree of Control of the Legislatureover Administrative Agencies? y Legislative power over admin agencies is verybroad, it is the legislative branch that:  Promulgates the general policy  Creates the agency to administer it if none isalready in existence for the purpose  Prescribes the mode of appointment, theterm of office and compensation;