Wednesday, August 8, 2007

FEW BRAVE SOULS


Local Government Taxation is one of the most avoided topics among politicians. Under the Philippine setting, local legislators tend to shy away when it comes to sponsorships of tax measures. The passage of the New Vigan Revenue Code came at a time when we were still reeling from the Expansion of the Value-Added Tax imposed by the National Government. In the City of Vigan, after being challenged by Mayor Ferdinand Medina in his State of the City Address in June of 2005, a few months before the expiration of the moratorium of local taxes under the City Charter of Vigan(R.A. 8988), the City Council started to work on the enactment of a New Revenue Code. It did not come easy. Few brave souls patiently and relentlessly worked for its passage. From the time it was first presented, to the series of consultations and public hearings, discussions in the committee level, debate in the plenary and until the final voting, the proposed code was met with apprehensions. But, that’s the beauty of legislation, and Vigan can proudly tell that it is one of the few local government units which has consistently conducted honest-to-goodness public hearings and consultations in the passage of its revenue code.



As a compromise with the business sector, the New Vigan Revenue Code generally did not increase the rates of taxes. What was increased were the regulatory fees, taxes on banks and financial institutions, taxes on the operation of cockpit arenas, and taxes on tobacco trading. From these activities, the amount of 9 (nine) million pesos is expected to be generated as additional income for development projects. The challenge is now with the City Treasurer’s office to implement the code and efficiently collect taxes. The City Council has done its part but it will continue to monitor the implementation of the New Revenue Code under its oversight powers. The last time that the revenue code of Vigan was updated was in 1984, thus, the passage of the New Vigan Revenue Code is really a breakthrough.



I would like to thank the Members of the Second City Council who acted with prudence in deliberating the New Vigan Revenue Code. Special mention to Councilor Loreto Quibilan, the Principal Proponent of this Ordinance; Councilor Ever Molina, the Chairman of the Committee on Rules of the Second City Council, whose parliamentary skills contributed in the smooth passage of the ordinance; Former Councilor Germelina Singson-Goulart, whose strong political will provided the inspiration in the approval of this revenue code; my Chief of Staff, Atty. Mhelygene Tesoro who provided the legal research; Ms. Ema Tugade, researcher of the Vice Mayor’s Office, who painstakingly provided inputs in this project; City Treasurer Milagros Contreras, for her dedication in attending public hearings; Mrs. Rowena Raboy, the City Council stenographer, whose notes helped us determine the legislative intent of the ordinance; and Dr. Esperanza Lahoz, President of the Philippine Chamber of Commerce and Industry, Ilocos Sur Chapter, whose advocacy to protect the business sector provided the necessary balance in the formulation of this code.



On a personal note, the challenge to come up with a New Revenue Code a year before the election, made me realize that there are few brave souls ready to work for the city.

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