Councilors refer MCWD's request to Rama, treasurer

CEBU, Philippines - The Cebu City Council asked Mayor Michael Rama and City Treasurer Emma Villarete to give their comments to the request of Metro Cebu Water District (MCWD) officials to allow them to redeem their properties even if the one-year redemption period already lapsed.

The parcels of MCWD properties, mostly situated in Barangay Buhisan, were auctioned by the city last June 28, 2011 because the MCWD officials did not pay real property taxes to the Cebu City Government amounting to P69.5 million.

The law provides that from the date of the auction, the owner of the property has one year to redeem the property by just adding two percent of the cost of the purchase price, but the MCWD officials failed to redeem the auctioned property.

MCWD General Manager Armando Paredes tried to convince the Cebu City legislators to grant their request by telling them that the City still has an obligation to MCWD amounting to P82 million for unpaid water bills, including interests.

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

The City through the City Treasurer’s Office, had already issued a Declaration of Forfeiture of Real Property due to tax delinquency of P69,561,954.

Paredes explained that the reason MCWD did not pay the real property tax is because the subject properties are still being verified and surveyed jointly by MCWD and the City Assessors Office.

MCWD Secretary Cynthia Barrit had said that based on their survey, it was found 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.

“While aptly it is the power of the City Council to grant tax exemption, incentives and relief in accordance with section 447 (2) of the Local Government Code, but the committee would like to refer the matter to the mayor and city treasurer for their comments and recommendation,” said Councilor Margarita “Margot” Osmeña, chair of the City Council’s committee on budget and finance.  (FREEMAN)