24 November 2016

Lo glad MPP collects 85 pct of assessment rates annually


 Lo Khere Chiang
Lo Khere Chiang

KUCHING: Padawan Municipal Council (MPP) chairman Lo Khere Chiang disclosed the council collected an average of 85 per cent of its assessment rates annually.

He said before the state government decided to reduce assessment rates, MPP was able to collect some RM23 million annually.

“The remaining 15 per cent, we will give them chance to pay. We will (lodge) caveat (on) their properties if they don’t pay and if they want the release of their caveat, then they pay. If not, they will not be able to sell their properties,” Lo told the media on the sidelines of the DUN Sitting yesterday.

He pointed out that there was always a small group of rate payers who just refused to pay even though they can afford it.

“But there are also those who just can’t afford to pay their rates especially those who are really poor; in such cases the government will waive the amount after a certain period of time,” he said.

Lo who is also Batu Kitang assemblyman assured that the council will continue to provide good standards of services for the people such as drainage and re-sealing of roads for residents under its jurisdiction.

“The government is subsidising a small amount. That’s the whole point because the government is doing things for the people such as the construction of roads and drains for the people… jobs we cannot expect the people to do themselves.”

He disclosed that the collected assessment rates were normally used to run the daily administrative activities of the council.

Lo was commenting on the Auditor-General Report based on an audit carried out from April until June 2016, which amongst others concluded that the management and collection of assessment rates in both MPP and Kuching South City Council (MBKS) was good, compliant to ratings procedures and reporting and financial regulations on revenue management.

However, both councils need to address the following: increase in assessment rates arrears, no new valuation list prepared and used since 1998 and no valuation system that integrates valuation and rating systems for assessment rates.

The AG report also suggested that in order to ensure both MPP and MBKS’s management of assessment rates collection were efficient as well as to meet the set objectives, the following improvements were recommended: both MBKS and MPP take early actions before the arrears exceed 6 years and take assertive actions to ensure the arrears were paid by the owners concerned within the stipulated time.

It suggested that the Ministry of Local Government in Sarawak, MPP and MBKS have to compile a new valuation list so that the yearly assessment rates are in accordance to current market values.

The report also advised both MPP and MPP to develop and use a valuation system that integrates with the rating system in line with the increase in the number of holdings and to meet current needs.

Meanwhile, Minister of Local Government Datuk Dr Sim Kui Hian when approached on the sidelines of the DUN Sitting yesterday said he would like to study the report before making any comments.

“I need to read the (AG) Report first before I can comment on it. I will give you a press statement,” he said.



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