Mayor mulls use of Peza share for wastes
MAYOR Mauricio Domogan recently announced his intention to allocate the P85 million released shares from Philippine Economic Zone Authority (Peza) operations for the mounting solid waste management expenses of the City Government.
The mayor and Department of Budget and Management (DBM) Regional Director Liza Fangsilat recently met to discuss the Special Allocation Release Order on the long awaited shares of the City that was wrongfully remitted to the National Government treasury.
Domogan said the process of using these funds for solid waste management is still being finalized by the City Government with the DBM.
The amount released by DBM is part of the P125 million shares of the city from the operations of Peza that has wrongfully been remitted by the Bureau of Internal Revenue (BIR) to the National Government treasury.
Domogan said he will continue to pursue the remaining P35 million Peza shares of the City, which may also be used to finance priority projects.
The release is pursuant to Republic Act 7916 or the National Wealth Tax shares facilitated by House Bill 4410 authored by Representative Neptali Gonzales III and co-authored by Representative Bernardo Vergara entitled “Direct remittance to the host local government of its forty percent share of the proceeds derived from the utilization and development of national wealth” last year.
The revenue shares from the locators of Peza was initially approved in the 2012 national budget in the House of Representatives and Senate, and the Bicameral Conference Committee but was vetoed last year by President Benigno Aquino III.
But upon appeal of Mayor Domogan and Representative Vergara to President Aquino, Secretary Florencio Abad last year told them that the shares will be released anytime this year upon the release of an updated certification from the BIR.
Domogan said the local finance committee has been gathering the documents needed to prove this fund was wrongfully remitted by the BIR to the National Government.
He said it is easier for BIR to directly remit these shares to the City but once these shares are remitted to the National Government, it is already difficult to regain considering that Baguio City waited for more than 10 years for these shares.
Last March 14, the BIR issued an updated certification together with another certification from the Bureau of Treasury issued last July 25 indicating the two percent share of the city from the declaration of the economic zones and shares from the Special Development Fund amounted to P86,878,355.52.
While the P85 million will be released this year, the remaining P1.8 million has been included in the 2013 National Expenditure Program and will be released upon approval of the 2013 national budget.
http://www.sunstar.com.ph/baguio/local-news/2012/09/11/mayor-mulls-use-peza-share-wastes-242302
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