CSC Vs DBM
CSC Vs DBM
Facts
The Civil Service Commission (CSC) presents this petition for mandamus to compel the Dept. of
Budget and Management (DBM) to release the balance of its budget for the fiscal year of 2002. It also
seeks a determination by this court of the extent of the constitutional concept of fiscal autonomy.
The total allocations for the CSC by the General Appropriations Act of 2002 is P285,660,790.44 but
only P279,843,398.14 have been released to it, leaving a withheld balance of P5,807,392.30.
The balance was intentionally withheld on the basis of the no report, no release policy which provides
that allocations for agencies will be withheld pending their submission of documents listed in the
National Budget Circular No. 478.
Respondent opposes the petition on the basis of the procedural ground of non-exhaustion of
administrative remedies, as the CSC could have first clarified the extent of fiscal autonomy with the
DBM secretary. Respondent also invokes the hierarchy of courts, and points out that there is no
exception and compelling reason to justify the direct filing of the petition with the Supreme Court
instead of the trial court.
Issues
1. w/n the doctrine of exhaustion of administrative remedies applies in this case. NO
2. w/n the filing of this petition violated the hierarchy of courts principle. NO
Held
Ratio
1. The rule on exhaustion of administrative remedies invoked by respondent applies only where there
is an express legal provision requiring such administrative step as a condition precedent to taking
action in court. As petitioner is not mandated by any law to seek clarification from the Secretary of
Budget and Management prior to filing the present action, its failure to do so does not call for the
application of the rule.
2. As for the rule on hierarchy of courts, it is not absolute. A direct invocation of this Court's original
jurisdiction may be allowed where there are special and important reasons therefor, clearly and
specifically set out in the petition. Petitioner justifies its direct filing of the petition with this Court as the
matter involves the concept of fiscal autonomy granted to [it] as well as other constitutional bodies, a
legal question not heretofore determined and which only the Honorable Supreme Court can decide
with authority and finality. To this Court, such justification suffices for allowing the petition.