BAGUIO CITY—Finance Secretary Carlos G. Dominguez has ordered the city government to update its schedule of market values for its real property taxes.
The update follows the provisions of the Local Government Code to generate sufficient resources “that could be plowed back to the people, through the implementation of development projects and enhanced delivery of basic services,” Dominguez said.
The secretary noted that Baguio’s last general revision of property assessments was in 1996, hence the current property tax base of the city “is already outdated by 21 years now.”
By fiscal year 2015, the finance official said the local government collected P179.88 million on real property taxes using the current schedule of market values as the basis of property assessments.
However, Dominguez pointed out Baguio could generate additional revenue of at least P48.57 million if the schedule of market values was updated, “bringing collections up to P78.96 million if collection efficiency is optimized using an updated schedule of market values.”
Under the Local Government Code of 1991, provinces, cities, and the lone municipality in Metro Manila (Pateros) are required to undertake the revision of their respective schedules of market values once every three years.
Dominguez stressed that in line with the mandate of the Department of Finance to supervise the revenue operations of all local government units, Baguio was directed “to regularly update its schedule of market values, and to conduct the required general revision of property assessments and classifications.”
Following the established procedures under the Local Government Code and the standards, rules and regulations prescribed by the DoF for classification, appraisal and assessment of real property, the Baguio City Assessor should prepare the schedule of market values for compliance review by the DoF’s Bureau of Local Government Finance in accordance to Local Assessment Regulation No. 1-2002, and after that submit the same to the City Council for approval and enactment.
“If fully enforced and properly administered, real property tax offers a progressive and stable source of revenues that can be shared by the city with the barangays and the city’s Local School Board, to finance the provision of basic service and education needs to your constituency, thereby improving the city government’s service delivery to the public,” Dominguez stressed in his letter to Mayor Mauricio G. Domogan through City Treasurer Alex B. Cabarrubias and City Assessor Maria Almaya C. Addawe.
Domogan had reminded the City Council to pass the proposed revisions to the existing schedule of market values for property assessments and classifications “so that the BLGF will not be constantly accusing the city officials of being remiss in their duties and responsibilities to update its revenue sources, pursuant to the existing provisions of the Local Government Code,” he said.
