The Supreme Court (SC), led by Chief Justice Alexander G. Gesmundo and the SC Associate Justices, welcomed the signing into law of Republic Act No. 12233, or the Judiciary Fiscal Autonomy Act, on August 14, 2025.
The law strengthens the constitutional guarantee under Article VIII, Section 3 of the Constitution, which states that the Judiciary shall enjoy fiscal autonomy. This ensures that the Judiciary’s budget cannot be reduced below the previous year’s allocation and must be automatically and regularly released.
However, despite this constitutional provision, the Judiciary’s budgetary needs are sometimes unmet due to the complexities of the budget process, affecting the SC’s operations and modernization efforts.
The Judiciary Fiscal Autonomy Act addresses this by allowing the SC to submit its original budget proposal directly to Congress, as an attachment to the National Expenditure Program prepared by the Department of Budget and Management (DBM). The DBM may separately submit its comments and recommendations.
The law also ensures that the monthly cash requirements of the Judiciary—equivalent to one-twelfth of its total budget—will be released automatically by the DBM, without the need for additional paperwork or approvals. The Judiciary will continue to submit quarterly reports to the President and Congress.
The Judiciary’s current budget now covers both national and regional operations, with the creation of the Office of Regional Court Managers across judicial regions.
All revenues and expenditures of the Judiciary, including those from the newly established Judiciary Trust Fund, will remain subject to post-audit by the Commission on Audit (COA).
The law also facilitates the transfer of ownership of properties acquired for the Judiciary to the SC, ensuring better control and management of its assets.
To implement the law, the SC will draft the Implementing Rules and Regulations (IRR) in consultation with the DBM and COA, within six months from the law’s effectivity.
The Judiciary Fiscal Autonomy Act significantly supports the SC’s ongoing modernization efforts under the Strategic Plan for Judicial Innovations 2022–2027 (SPJI).
President Ferdinand R. Marcos Jr. led the signing ceremony at the Malacañan Palace, together with Senate President Francis G. Escudero and House Speaker Ferdinand Martin G. Romualdez. Also present were Senators Joel Villanueva and Alan Peter S. Cayetano; Representatives Gloria Macapagal-Arroyo, David C. Suarez, Janette L. Garin, Marcelino C. Libanan, Gerville R. Luistro, and Ysabel Maria J. Zamora; Executive Secretary Lucas P. Bersamin; Commission on Audit Chairperson Gamaliel A. Cordoba; and Presidential Legislative Liaison Office Head Undersecretary Adrian Carlos A. Bersamin.
Joining the Chief Justice were Associate Justices Ramon Paul L. Hernando, Amy C. Lazaro-Javier, Henri Jean Paul B. Inting, Rodil V. Zalameda, Samuel H. Gaerlan, Ricardo R. Rosario, Jhosep Y. Lopez, Japar B. Dimaampao, Jose Midas P. Marquez, Antonio T. Kho, Jr., and Raul B. Villanueva. (Press release courtesy of the SC Office of the Spokesperson)
