MORE NEWS, BAGUIO CITY

CLO tells treasury: Collect tax from John Hay renters
By Isagani S. Liporada

BAGUIO CITY – City legal officer Melchor Carlos Rabanes said claims of business establishments within the John Hay Special Economic Zone that they were not required to secure business permits from the Baguio government were wrong, saying they were not exempt from taxes.

JHMC is the developer of the multi-billion mega-tourism estate. In a legal opinion addressed to city treasurer Thelma Manaois dated June 12, he said there are no provisions in law pertaining to JHSEZ nor case laws conferring the Bases Conversion Development Authority or JHMC police power to control, supervise and regulate businesses within CJH.

“In fact, the most recent case law dealing on the subject of tax perks, John Hay People’s Alternative Coalition, et al. vs. BCDA, did not provide hints on CJH establishments being exempt from the required regulatory charges,” he said. “The power,” he added, “is lodged with the local government of Baguio alone.”

Manaois, March 1, 2007 wrote JHMC asking that accredited enterprises within John Hay to settle their business permits with the city. JHMC officer-in-charge Lyssa Pagano-Calde in a letter dated March 26, 2007 to Manaois however claimed “enterprises within JHSEZ are not required to secure business permits or licenses from Baguio.”

Calde said pursuant to Presidential Proclamation 1191, John Hay has been declared a Special Tourism economic Zone within the purview if Republic Act (RA) 7916 or the Special Economic Zone Act of 1995. “As an offshoot,” she said, “a registration agreement was executed between the Philippine Economic Zone Authority and JHMC.

The agreement provided that JHMC as developer-operator of the ecozone is authorized, among others, to administer, manage, and operate the ecozone.” Rabanes however said JHMC should distinguish between the exercises of the power of taxation and police power granted to LGUs via the Local Government Code.

The police power exercised by LGUs is the power to prescribe regulations to promote the health, morals, peace, education, good order or safety and general welfare of the people. It is essentially regulatory in nature and the power to issue licenses or grant business permits, if exercised for a regulatory and not revenue-raising purpose, is within the ambit of this power.

“The authority of city to issue or grant licenses and business permits is beyond cavil. It is provided for by law,” the legal officer said. Rabanes added eco-zone laws pertaining to the CJH has been amended time and again but “have not taken away city police power over businesses, occupations and callings therein.”

“In fact,” he added, “a letter dated September 6, 2004 of JHMC vice president Francisco Moredo even confirmed our opinion that all business establishments inside CJH need to secure business permits.”

He said JHMC may have certain tax perks based on statutes but he added, JHMC can arrogate upon itself a power exclusively granted to LGUs by Republic Act No. 7160 (Local Government Code) which the city further carved into its Tax Ordinance 2000-001.

“Thus,” Rabanes said, “lack of business permit renders businesses operated in CJH illegal and subject to administrative remedy of abatement or closure as well as to penal sanctions.”

Section 178 of Ordinance 2000-001 provides a P1, 000 - P5, 000 fine or imprisonment of not less than 1-month nor more than 6-months for natural persons operating businesses without necessary permits. For corporations and partnerships, the same fines and penalties shall be imposed upon the establishment’s top hog.

Earlier, Manaois revealed a computation of how much CJH business establishments owe the city ever since the eco-zone started operations middle of the 90’s. “Computations are based on actual receipts,” she said adding, “enterprise operating within the former US military base have yet to account to us so we could properly assess how much they actually owe the city.


Baguio City council passes on 1st reading ‘carless Fridays’ law
By Julie G. Fianza

BAGUIO CITY – A proposed ordinance was approved on first reading by the city council here to make every Friday a “carless day.” Filed by vice mayor Daniel Farinas, the measure is anchored on the “Walk, Baguio, walk” project launched June 2, in observance of World and Philippine Environment Month, National Flag Month and the 20th anniversary of the Baguio Regreening Movement.

The proposed ordinance was also based on administrative order 168, 2007 declaring Fridays “community service day” in the city, and administrative order 69, 2008 issued by Mayor Reinaldo Bautista Jr. stipulating “year-round ‘hike-to-and-from work’ Program for all city government offices and private establishments.”

The vice-mayor in the proposal, solicited support of government offices, non-government organizations and private groups in a move to raise awareness of environmental and health issues, particularly of air, noise pollution and energy conservation.

Though generally voluntary, private car owners were enjoined to participate, not for monetary reward but to improve public health and for environmental benefits. Minor sanctions in accordance to the law may be imposed on public and private members or employees who would not participate, the proposed ordinance stated.

If approved on final reading, awards, recognition, prizes to exemplary individuals or groups may be given, as sponsored by benevolent bodies, including the local government. In addition, the vice-mayor said, carless days would mean less cars clogging the streets and on-street parking spaces.

Farinas cited data that there were 28,000 private vehicles in Baguio, 7,000 public utility jeepneys and equally 7,000 taxi units all plying the streets. The proposal was referred to the council committee on health and sanitation, ecology and environmental protection for further study.


Ferguson folk hit Baguio officials for failure to fix clogged sewer lines
By Dexter A See

BAGUIO CITY -- Residents living along Ferguson Road here criticized the city government, particularly the public utilities and services office, for failure to repair clogged sewer lines which they said, was main reason for delays in the ongoing P7 million road concreting and drainage improvement project in their area.

The people, who are now suffering from the daily inconveniences of the project delay, said the PUSO should seek the appropriation of funds for unclogging of its sewer lines along Ferguson so the contractor could complete the project the soonest possible time for convenience of the public.

They complained that due to the inefficiency of the PUSO, the contractor could no longer proceed with the concreting of the pavement at Upper Ferguson because of the continuous flow of sewage water on the pavement thereby resulting in the softening of the foundation.

According to them, PUSO officials should not remain deaf to their plight because it is obvious that the sewer lines are the ones defective and it is not the contractor since the project should have been completed if not for the overflowing sewer lines which pose a serious threat to the pouring of new concrete for the pavement.

Despite their repeated request for the PUSO to repair their clogged sewer lines, they claimed PUSO officials only reason out that there is no funding for such kind of project, thus, they will have to bear the burden of being inconvenienced until such time that funds will be allocated for such purpose.

Ironically, it was the contractor who shouldered the huge expense for the unclogging of the sewer lines at the lower portion of Ferguson just to his commitment to complete the project but it would be too much if he will again be the one to do the same in the upper portion, thus, PUSO must already wake up and do their supposed duties and responsibilities in clearing their lines to allow the smooth flow of water into their system and not on the concrete pavement.

The people warned if PUSO would not repair the clogged sewer lines, the contractor, who is reportedly fed up about the situation, could not complete the project in one year because the water flowing into the pavement especially when newly concreted will result to scaling.

However, if PUSO will do its part in repairing its clogged lines, the contractor assured residents he could complete the project in two to three weeks time for the convenience of the people passing through and living along Ferguzon.

Residents appealed to the city government to give the repair of the clogged sewer lines along Ferguzon road priority so the P7 million road concreting and drainage improvement project would not be wasted and for them not to suffer from daily inconveniences brought about by incompetence of some city departments.


Ordinance to return free drinking water in eateries
By Ramon Dacawi

BAGUIO CITY -- Time was when a glass of free drinking water would come naturally with your plate, spoon, fork and paper napkin in any restaurant here. Eventually, Baguio’s eateries were one of the first to serve it only when asked, a conservation measure appreciated by diners.

Times change and it appears some restaurants here no longer serve “service water” but bottled, commercial water that they add to your bill. It’s becoming a cause for irritant among budget-conscious patrons who are sometimes asked what drink they would have, only to be told free water can’t be had.

While the matter is similar to the on-and-off controversy about shopping malls collecting car parking fees from those who patronize their shops, restaurant patrons here may yet have their glass of safe water without added cost. The issue surfaced Monday when the Sangguniang Panlungsod discussed a proposed ordinance seeking to prohibit eateries from serving tap water to their customers.

City councilor Nicasion Aliping, author of the measure, was concerned over the potability of tap water. The Baguio Water District claims it is potable where it is drawn and treated at the source, but its safety is compromised when it passes through pipes and storage tanks of unsure quality.

Aliping is calling for a prohibition of tap water being served in restaurants which, he said, should only dish out of the liquid only in mineral and purified form. Now on second reading , the health-oriented is expected to be amended to include a provision obliging restaurants to serve safe drinking water for free to customers opting for the same.

“We will include that among the provisions,” Aliping said, noting that water is one of the most basic necessities. Aliping has proposed penalties for violations at P1,000 fine and reprimand for the first offense, P3,000 fine for the second, and P5,000 and revocation of business permit at the third instance.