After cityhood of Bogo, Carcar, Naga: Province works to fill in tax losses

CEBU, Philippines - Following the Supreme Court’s latest ruling of upholding the cityhood status of 16 municipalities, the Province of Cebu prepares ways how to fill in the losses of real property tax shares from the new cities of Carcar, Bogo and Naga.

Governor Gwendolyn Garcia confirmed the cityhood of the three towns has affected the province’s share in the real property taxes although “that was already something that we had long considered.”

Although no exact figure was bared, Provincial Treasurer Roy Salubre said around P42.5 percent of the real property income from each town goes to the provincial coffers.

Garcia said even before the SC ruled in favor of the new cities, the Province of Cebu already passed the Revised Revenue Code and the new schedule of values of real properties.

The Capitol continues to push for revenue generating efforts or enterprises and the improved collection efficiency and revenue generation of Cebu South Bus Terminal.

Garcia said the provincial government cannot continue to rely on the conventional ways of generating revenues.

“The province has very limited taxing powers and as it is we do not also wish to stand in the way of growth of our municipalities who should deserves to become cities,” Garcia said.

As governor, she believes it is a challenge for her “to be creative, and to be more innovative in looking for other ways by which we may be able to generate revenues for the provincial government of Cebu.”

Garcia cited the “eventual” start of Ciudad project in a province-owned property in Banilad-Talamban area in Cebu City.

The project was bid out with highly advantageous terms to the provincial government wherein the proponent, Fifth Avenue, will not only be renting the lot but they will also be sharing with the province of Cebu a certain percentage of their gross revenues.

“We are going by that direction in looking at other properties of the province that have now become very viable for possible commercial development,” Garcia said.

Garcia emphasized the policy of not selling any of the lots but to enter into public-private partnerships with interested investors.

The provincial government is also presently looking at the 80.7-hectare property at the Camp Lapu-Lapu in Barangay Apas that will soon be developed by a private investor.

Garcia said it is a much bigger area and she is looking at the possibility of developing a city within a city like the Bonifacio Global City in Taguig City.(FREEMAN NEWS)