Province of Zamboanga Del Norte vs City of Zamboanga 22 SCRA 1334

Facts

Prior to the incorporation as a chartered city, the Municipality of Zamboanga was the provincial capital of Zamboanga Province. By virtue of Commonwealth Act 39, section 50 providing that the buildings and other properties that the Province will abandon in view of its conversion as Zamboanga City shall be paid for by the City of Zamboanga at a price to be fixed by the Auditor General, the said properties consisting of 50 lots were identified and the price were fixed thereof. An allotment for its payment was authorized by the BIR Commissioner. In June 17, 1961, RA 3039 was approved and it amended section 50 of the Commonwealth Act 39 providing that all buildings, properties, and assets belonging to the Province of Zamboanga and located in the City of Zamboanga are transferred free of charge in favor of the City of Zamboanga. The Province of Zamboanga del Norte filed a complaint for declaratory relief with preliminary injunction contending that the RA 3039 is unconstitutional as it deprives the Province of its properties without just compensation and due process.

Issue

Whether or not RA 3039 is unconstitutional?

Held

The court held that to resolve the issue it is important to identify the nature of the properties in dispute. The properties that are devoted for public purpose are owned by the province in its governmental capacity. Those that are not devoted for public use remain as patrimonial property of the Province. The RA 3039 is held valid in so far as the properties that are devoted for public use or owned by the province in its governmental capacity and thus must retain its public purpose. Hence these governmental properties need not be paid by the City of Zamboanga. 

With respect to the patrimonial properties from the 50 lots in dispute, the RA 3039 cannot be applied in order to deprive the province of its own patrimonial properties that are not devoted for public use. Hence the City of Zamboanga shall pay just compensation to the Province of Zamboanga for these patrimonial properties.