PUJ terminal owes City 10% share of revenues-A A +A
Sunday, September 30, 2012
STATE auditors want the Mandaue City Government to get its share of the revenues collected by a jeepney terminal operating at a mall in the North Reclamation Area.
According to a Commission on Audit (COA) report, the City could have earned additional income had it collected its 10 percent share on the gross revenues of the terminal at the Parkmall.
The mall is operated by the Golden Great Value Properties Inc., according to the report.
State auditors recommended that city officials require Parkmall terminal’s management to remit the City’s share.
City Administrator James Abadia already issued a memorandum directing the City Treasurer’s Office to collect the City’s share on the gross revenue of the terminal operations.
The City “failed to exercise its right to collect its share in the income of the terminal operations,” the COA report said.
State auditors cited a city ordinance that sets the requirements for the accreditation and regulation of jeepney, V-hires and bus terminals in the city.
Section 9 of City Ordinance 11-2010-554 provides that “the City of Mandaue shall be entitled to not less than 10 percent of the gross revenues from the terminal operation… rentals of parking bays and garage and such other income generated from the use of the terminal.”
Under the ordinance, the City’ 10-percent share should be remitted on a quarterly basis.
According to the COA report, jeepney drivers are required to pay P20 upon entering the terminal at Parkmall, whether they park or not.
The report did not indicate the City’s total uncollected share. Sun.Star Cebu called City Treasurer Regal Oliva, but he could not be reached.
Of COA’s 64 previous recommendations, the City implemented 37, one of which was to make the City’s slaughterhouse fully operational.
The City partially implemented 12 recommendations, while 15 have yet to be implemented.
Published in the Sun.Star Cebu newspaper on September 30, 2012.