G.R. No. 192791 ; April 24, 2012
Dennis A. B. Funa, Petitioner, vs. The Chairman, Commission on Audit, Reynaldo A. Villar, Respondent.

FACTS

Guillermo N. Carague was appointed Chairman of the Commission on Audit (COA) in 2001 for a seven-year term ending February 2, 2008. Reynaldo A. Villar was appointed a COA Commissioner in 2004 for a term ending February 2, 2011. Upon Chairman Carague’s retirement, Villar was designated Acting Chairman and was subsequently appointed as the new COA Chairman on April 18, 2008. His appointment papers indicated he would serve as Chairman only until February 2, 2011, the expiry of his original commissioner term. However, Villar asserted that his appointment granted him a fresh seven-year term as Chairman, lasting until 2015.
Petitioner Dennis A. B. Funa challenged the constitutionality of Villar’s appointment as COA Chairman. Before the Supreme Court could rule, Villar resigned in February 2011 upon the appointment of his successor, Ma. Gracia Pulido-Tan. This resignation rendered the main petition moot, as Villar had already vacated the office.

ISSUE

Whether the Court should resolve the constitutional challenge despite the case being moot, and if so, whether the appointment of a sitting COA Commissioner to the position of Chairman for the unexpired portion of his original term violates the constitutional provisions on the COA members’ tenure.

RULING

Yes, the Court resolved the case. Although moot, it falls under recognized exceptions: it involves a grave constitutional violation, paramount public interest, a need to formulate controlling principles, and is capable of repetition yet evading review. The constitutional issue required settlement to guide future actions.
On the merits, the appointment was unconstitutional. Section 1(2), Article IX-D of the 1987 Constitution provides that the Chairman and Commissioners shall have a seven-year term without reappointment. It further states that “Of the Commissioners first appointed, the Chairman shall hold office for seven years, one Commissioner for five years, and the other Commissioner for three years, without reappointment.” Interpreting this, the Court held that the seven-year term is a personal and fixed tenure for each member. A Commissioner promoted to Chairman does not receive a new seven-year term. Instead, the promoted member serves only for the remainder of his original seven-year term, ensuring the staggered terms system is preserved and the constitutional prohibition on reappointment is not circumvented. Therefore, Villar could only legally serve as Chairman until February 2, 2011, the end of his original commissioner term. His claim to a fresh term until 2015 had no constitutional basis.