SP to CTO on BUSECO tax liability payment: seek legislative authorization

MALAYBALAY CITY (Bukidnon News Dispatch/18 Jan) – City Councilor Bob Roberto T. Casanova, chairman of the Committee on Finance and Appropriation, called the attention of the City Treasurer of Malaybalay, Mr. Danilo D. Linoay, and City Legal Counsel, Atty. Julius Barroso, during the 2012 2nd Regular Session of the Sangguniang Panlungsod on Jan. 17, 2012 regarding the P 5 M paid by Bukidnon Second Electric Coop, Inc., (BUSECO) as partial payment of the P 14,040,661.78 Real Property Tax liability.


Casanova said that as chairman of the Committee on Finance he is aware that the City Treasurer is trying hard to cope-up with the trimmed down Internal Revenue Allotment (IRA) of the City of Malaybalay by accelerating revenue collection, however, every action as it is should be supported by a Memorandum of Agreement duly approved by the SP.


Casanova advised the City Treasurer and the City Council to start the new year 2012 on the right foot by observing the proper protocol of legal basis in seeking legislative authorization before initiating any action, should it be beneficial, correct and urgent.


Linoay on his reply asked apology for doing such, saying that he accepted the payment in good faith thinking that the series of meetings conducted with the members of the Committee on Ways and Means signals the approval for them to begin accepting payments on the BUSECO tax arrears.


City Councilor Roland F. Deticio also reminded the City Treasurer to come up with a feasible payment term and consider a payment scheme that shall ensure full payment in a possible shortest period.


Deticio also stressed that the said agreement should also ensure that there will be no increase in rate since BUSECO already collected additional charges from the consumers to shoulder the said tax due.


Deticio openly manifested that he is not in favor of BUSECO imposing another additional charge for this purpose and will strongly oppose any future plan or action in this manner.


Councilor Jay Warren R. Pabillaran also sighted consideration of final deliberation to determine pre-judicial issues that has significant impact to the consumers.


Pabillaran added that a lot of issues should be considered including support and approval not only by the members of the City Council but also of those from other areas which will be affected by this initiative.


The P 14,040,661.78 Real Property Tax liability has a breakdown of P 9,059,661.78 as principal and P 4,981,433.22 as penalty. The penalty accumulated to such amount due to non-payment of BUSECO for 6 years already starting year 2004 until Sept. of 2011.


BUSECO, headed by Branch Manager Juancho T. Chiong, conducts conference with the City Treasurer together with the City Legal Counsel, Atty. Julius Barroso, and the Sangguniang Panlungsod Committee on Ways and Means, chaired by Councilor Perla E. Rubio and members Councilors Jay Warren R. Pabillaran, George Damasco and Roland F. Deticio on Nov. 3, 2011 purposely to concretized the intention of BUSECO to settle the P 14M Real Property Tax due to the City Government of Malaybalay and discuss the possibility of coming up with a compromised agreement to put an end to the said issue.


The said agreement however, was not yet presented to the City Council for deliberation and approval. (Erlow Talatala).


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