MCWD wants more time to redeem properties

CEBU, Philippines - Officials of the Metro Cebu Water District are requesting the Cebu City government to give them more time to redeem their properties in the barangays of Buhisan and Tisa forfeited by the city for failure to pay taxes amounting to P69 million.

The city earlier issued a Declaration of Forfeiture of Real Property due to a tax delinquency of P69,561,954.

The one-year redemption period had already lapsed last Wednesday and MCWD still failed to redeem the properties that were used by the water firm in the performance of its function as water utility.

“In view of the expiry of the one-year redemption period by the end of June 2012, MCWD requests this honorable office to grant an extension since the subject properties are being verified and surveyed jointly by MCWD and City Assessors Office,” said MCWD General Manager Armando Paredes.

The MCWD officials also informed Vice Mayor Joy Augustus Young that based on their records it showed the City of Cebu also has a substantial liability to MCWD pertaining to unpaid water bills together with interest and penalties estimated to reach P82 million.

“Yet, MCWD gave leniency to the city regarding its collection,” Paredes added.

The City Accounting Office could not provide The FREEMAN the reported unpaid accounts of water bills incurred by the various City Hall offices for the past years.

Paredes said that in the interest of public service MCWD is requesting for the same favor by asking an extension within which to redeem the forfeited properties.

MCWD Secretary Cynthia Barrit said based on the survey conducted by the MCWD it was found out that only a portion of the properties forfeited were actually owned, used or occupied by the water firm, while the rest are claimed by other entities.

“There is still a need to conduct further surveys for the properties in Barangays Buhisan and Tisa to determine with reasonable certainty the possession and use of these properties,” the MCWD Board resolution read.

According to Barrit that considering that there is ambiguity in the amount assessed by the city and considering that under the existing laws, real property tax shall be assessed based only on actual or constructive possession, it is but equitable to request the city some reasonable time come up with a more accurate and acceptable basis for the assessment of real property tax.

The City Council agreed to refer the matter to the City Legal Office for further study and recommendation, aside from endorsing it to the members of the Committees on Utilities, Budget and Finance. – (FREEMAN)