GOVERNMENT BRANCHES

MANILA, Philippines – President Ferdinand R. Marcos Jr. has signed a new law, Republic Act 12233, that codifies and expands the judiciary’s fiscal independence. The measure, known as the Judiciary Fiscal Autonomy Act, was signed on Thursday during a ceremony at Malacañang attended by lawmakers and Supreme Court officials.

The law reaffirms a constitutional provision that the judiciary’s annual budget cannot be reduced below the previous year’s allocation. It also mandates that the judiciary’s funds be automatically and regularly released after congressional approval.

President Marcos emphasized that the law would allow the judiciary to operate more efficiently and independently. “Democracy can only take root when every Filipino is certain that the law is the same for all and that those who create, enforce and interpret these laws do so without fear, without favor and without anyone holding them by the purse strings,” he stated.

A key provision of the new law permits the Supreme Court to submit its budget proposal directly to Congress. This proposal will be attached to the National Expenditure Program prepared by the Department of Budget and Management (DBM), which may submit its own comments separately.

The law also empowers the Chief Justice to reallocate funds within the judiciary as needed, through resolutions of the full court. These funds can be used for various purposes, including hiring new personnel, maintaining courtrooms, and modernizing systems.

Additionally, the new law establishes a Judiciary Trust Fund to replace the existing Judiciary Development Fund. This trust fund, which will be managed by the Chief Justice, will consolidate all legal fees, existing resources, and income from deposits. It will be subject to post-audit by the Commission on Audit.

According to President Marcos, the Judiciary Trust Fund will enable the Supreme Court to reorganize offices, expedite staff hiring, and decentralize operations to better serve the public.

“This law further strengthens the commitment of the executive to work alongside the judiciary as a co-equal branch of government,” Marcos said, highlighting the shared responsibility of both branches to serve the Filipino people.

The final version of the bill was ratified by Congress on June 11, 2025, consolidating Senate Bill No. 2982 and House Bill No. 11358.