a. General Welfare Clause

Within their respective territorial jurisdictions, LGUs shall ensure and support:

• Preservation and enrichment of culture
• Promotion of health and safety
• Enhancement of the right of the people to a balanced ecology
• Development of self-reliant scientific and technological capabilities
• Improvement of public morals
• Enhancement of economic prosperity and social justice
• Promotion of full employment among residents
• Maintenance of peace and order
• Preservation of the comfort and convenience of its inhabitants

Police Power and General Welfare Clause

Police Power (General Welfare Clause)

Police power is not inherent in municipal corporations. Under the LGC, LGUs exercise police power under the general welfare clause; it refers to the power of regulation.

Updated: LGUs’ exercise of police power under the general welfare clause must satisfy due process and equal protection and employ means reasonably necessary to accomplish the purpose and not unduly oppressive (City of Koronadal v. Yellow Bus Lines, Inc., G.R. No. 265769, 12 August 2025).

Application

The PWD mandatory discount on the purchase of medicine is supported by a valid objective or purpose as aforementioned. It has a valid subject considering that the concept of public use is no longer confined to the traditional notion of use by the public, but held synonymous with public interest, public benefit, public welfare, and public convenience.

As in the case of senior citizens, the discount privilege to which the PWDs are entitled is actually a benefit enjoyed by the general public to which these citizens belong. The means employed in invoking the active participation of the private sector, in order to achieve the purpose or objective of the law, is reasonably and directly related. Also, the means employed to provide a fair, just and quality health care to PWDs are reasonably related to its accomplishment, and are not oppressive, considering that as a form of reimbursement, the discount extended to PWDs in the purchase of medicine can be claimed by the establishments as allowable tax deductions pursuant to Section 32 of R.A. No. 9442 as implemented in Section 4 of DOF Revenue Regulations No. 1-2009. Otherwise stated, the discount reduces taxable income upon which the tax liability of the establishments is computed [Drugstores Association of the Philippines, Inc. v. National Council on Disability Affairs, G.R. No. 194561 (2016)].