Bacolod gov't on DOJ ruling on Ord.474: No comment
BACOLOD CITY -- The city government does not want to comment yet on the alleged decision from the Department of Justice (DOJ) declaring the controversial City Ordinance No. 474, series of 2008 or the Revised Revenue Code of 2009 illegal for alleged non-compliance with the prescribed procedures in the enactment of a tax ordinance under the Local Government Code (LGC) and its implementing guidelines.
Acting City Legal Officer Atty. Vicente Petierre III said as of now they did not receive any official copy of the DOJ decision that’s why it is very premature to comment on the issue.
They did not also wonder why their detractors have an advanced copy compared to them like what happened to the COA report on government center project.
“What can you expect from people who have no other motives except to put shame on the Leonardia administration?” Petierre asked.
He cited the COA report wherein even a single word of “overprice” was not mentioned but interpreted by administration opponents as such.
They received reports that a ‘politician’ (indirectly referring to Cong. Monico Puentevella) went to the Ombudsman and prayed for Leonardia’s suspension even for at least one month. He advised Puentevella to wait for 2010 elections.
Recently, SM Group of Companies, namely, Ace Hardware Philippines, Inc., Mainstream Business, Inc., Star Appliance Center, Inc., SM Prime Holdings, Inc., Surplus Marketing Corp., Supervalue, Inc., and Watsons Personal Care Stores (Phil) Inc., acting as appellants, questioned the constitutionality and legality of the city ordinance that imposed what many business taxpayers deemed as “excessive and unreasonable tax impositions.”
In their appeal, the business community claimed that the subject tax ordinance is “void and illegal” being contrary to the provisions of the Local Government Unit (LGU).
The ordinance was also passed without complying with the requirements of publication, written notice and public hearing under Section 187 of the LGC; that it failed to comply with the posting requirements under Section 511.2 of the LGC concerning ordinances with penal sanctions; and it violated the requirement under Section 191 of the LGC that any increase in tax rates should not exceed 10% of the rates fixed under the Code.
But the City Mayor, represented by the City Legal Office in its Manifestation with Motion to Dismiss, informed the DOJ that on February 10, 2009, Mayor Evelio Leonardia has written the Sangguniang Panlungsod proposing to defer implementation of increases in business taxes prescribed in the subject ordinance on account of the many issues and opposition from the business community; that the SP passed Ord. No. 481 on Feb. 11 directing suspension of the implementation of the subject tax ordinance, pending review of its provisions.
The city, therefore, contended that the instant appeal has become moot and academic or, at best, premature.
Despite all the arguments presented, however, the appellants insisted that the passage of Ord. 481 deferring implementation of Ord. No. 474 did not guarantee that the issues raised will be resolved but will only delay its resolution.
“The first and last public hearing on the proposed amendatory ordinance was held Feb. 9, contrary to the appellees’ assertion that positive action is being taken to cure all the issues raised. They claimed there was a deliberate attempt to just delay the proceedings,” the appellants argued.
Acting Mayor Jude Thaddeus Sayson said granting that there is decision declaring it null and void, it will have no bearing since the city already suspended it and the City Treasurer’s Office already adopted the old rates.
“If a certain taxpayer paid based on the new rates, the payment received by the city will be credited to the next payment,” he added.
As of now, the Sanggunian is on the process of calling public hearings for the proposed new amendments as agreed by various sectors at the height when controversial ordinance was implemented.
Sayson stressed that only certain provision of the revised ordinance were questioned and not its entirety.