An Ordinance Granting the Manila Water Company, Inc. (MWCI) an Exemption from Payment of Local Taxes, in Accordance to Section 133 (O) of R.A. 7160 for the Period of January 10 to December 31, 2007 and for Other Purposes

May 7, 2007 PRESENT: Hon. Danilo O. Leyble City Vice Mayor/Presiding Officer FIRST DISTRICT: Hon. Ronald R. Barcena City Councilor Hon. Pablo S. Oldan, Jr. City Councilor Hon. Marino B. Bacani City Councilor SECOND DISTRICT: Hon. Ronaldo L. Leyva City Councilor Hon. German C. Mata City Councilor Hon. Atty. Jesus A.Y. Huertas, Jr. City Councilor Hon. Humberto M. Bautista City Councilor Hon. Nixon R. Aranas City Councilor Hon. Josme M. Macabuhay, M.D. City Councilor Hon. Christian Edward O. Alarcon Pres., SK Federation ABSENT: Hon. Serafin M. Alvaran City Councilor Hon. Eufracio M. Tapales City Councilor Hon. Bernard Leo U. Zapanta City Councilor Hon. Alexander S. Marquez City Councilor Hon. Evelyn S. Querubin City Councilor Hon. Lorenzo M. Zapanta City Councilor Hon. Corazon C. Braga City Councilor Hon. Efren R. Parreo Pres., Liga ng mga Brgy. GUEST: None ANTIPOLO CITY ORDINANCE NO. 2007-262 AN ORDINANCE GRANTING THE MANILA WATER COMPANY, INC. (MWCI) AN EXEMPTION FROM PAYMENT OF LOCAL TAXES, IN ACCORDANCE TO SECTION 133 (O) OF R.A. 7160 FOR THE PERIOD OF JANUARY 01 TO DECEMBER 31, 2007 AND FOR OTHER PURPOSES Introduced by: Coun. Nixon R. Aranas Sponsored by: Comm. on Ways and Means WHEREAS, Manila Water Company, Inc. (MWCI), a concessionaire of Metropolitan Waterworks and Sewerage System (MWSS), a government agency, delivers services of water supply in Antipolo City; WHEREAS, Section 133 (o) of R.A. 7160 or the Local Government Code of 1991 provides that: Section 133. Common Limitations on the Taxing Powers of Local Government Units. Unless otherwise provided herein, the exercise of the taxing powers of provinces, cities, municipalities and barangays shall not extend to the levy of the following: (o) Taxes, fees or charges of any kind on the National Government, its agencies and instrumentalities and local government units." WHEREAS, Section 192 of the Local Government Code of 1991 further provides that, "the local government units may through ordinance duly approved, grant tax exemptions, incentives or relief under such terms and conditions as they deem necessary"; WHEREAS, the services of Manila Water in the city has covered at least 41,727 households, eventually lifting the burden of water shortages from the shoulders of our constituents, who now enjoy the blessing of water 24 hours a day and 7 days a week in much lesser cost; WHEREAS, the operation of Manila Water Company in this city has generated economic opportunities and has attracted business investors eventually resulting to employment of our constituents; WHEREAS, grant of local tax exemption to Manila Water Company shall by all means redound to the benefit of the public, by giving them the opportunity to widen their scope of service as a result of the savings from the local taxes. NOW THEREFORE, BE IT ENACTED BY THE SANGGUNIANG PANLUNGSOD OF ANTIPOLO IN SESSION ASSEMBLED, THAT: SECTION 1. For purpose of this Ordinance, the Manila Water Company, Inc. (MWCI) is hereby granted the exemption from paying local taxes in its operation in Antipolo City in concurrence with Section 133 (o) of R.A. 7160 otherwise known as the Local Government Code of 1991 for the period of January 1 to December 31, 2007. SECTION 2. This Ordinance shall take effect upon approval. Adopted Unanimously May 07, 2007 Regular Session Certification I hereby certify to the correctness of the foregoing ordinance. (SGD.) ALAN R. ESPINAS Secretary to the Sangguniang Panlungsod I ATTESTED: SERAFIN M. ALVARAN City Councilor/Absent LORENZO M. ZAPANTA City Councilor/Absent EUFRACIO M. TAPALES City Councilor/Absent CORAZON C. BRAGA City Councilor/Absent BERNARD LEO U. ZAPANTA City Councilor/Absent (SGD.) RONALDO L. LEYVA City Councilor (SGD.) RONALD R. BARCENA City Councilor (SGD.) GERMAN C. MATA City Councilor (SGD.) PABLO S. OLDAN, JR. City Councilor (SGD.) ATTY. JESUS A.Y. HUERTAS, JR. City Councilor ALEXANDER S. MARQUEZ City Councilor/Absent (SGD.) HUMBERTO M. BAUTISTA City Councilor (SGD.) MARINO B. BACANI City Councilor (SGD.) NIXON R. ARANAS City Councilor EVELYN S. QUERUBIN City Councilor/Absent (SGD.) JOSME M. MACABUHAY, M.D. City Councilor (SGD.) CHRISTIAN EDWARD O. ALARCON President, SK Federation EFREN R. PARREO President, Liga ng mga Brgy./Absent (SGD.) ATTY. DANILO O. LEYBLE City Vice Mayor/Presiding Officer APPROVED: (SGD.) ENGR. ANGELITO C. GATLABAYAN City Mayor ATTACHMENT PROVINCE OF RIZAL CITY OF ANTIPOLO TEL. NO. 630-4978 OFFICE OF THE CITY COUNCIL COMMITTEE on WAYS and MEANS Coun. NIXON R. ARANAS Chairman DRAFT ORDINANCE NO. 2007-43 "AN ORDINANCE GRANTING THE MANILA WATER COMPANY, INC. (MWCI) AN EXEMPTION FROM PAYMENT OF LOCAL TAXES, IN ACCORDANCE TO SECTION 133 (O) OF R.A. 7160 FOR THE PERIOD OF JANUARY 01 TO DECEMBER 31, 2007 AND FOR OTHER PURPOSES" Introduced by: COUN. NIXON R. ARANAS Whereas, Manila Water Company, Inc. (MWCI), a concessionaire of Metropolitan Waterworks and Sewerage System (MWSS), a government agency, delivers services of water supply in Antipolo City; Whereas, Section 133 (o) of R.A. 7160 or the Local Government Code of 1991 provides that: Section 133. Common Limitations on the Taxing Powers of Local Government Units. Unless otherwise provided herein, the exercise of the taxing powers of provinces, cities, municipalities and barangays shall not extend to the levy of the following : xxx xxx xxx (o) Taxes, fees or charges of any kind on the National Government, its agencies and instrumentalities and local government units ." Whereas, Section 192 of the Local Government Code of 1991 further provides that, "the local government units may through ordinance duly approved, grant tax exemptions, incentives or relief under such terms and conditions as they deem necessary". Whereas, the services of Manila Water in the city has covered at least 41,727 households, eventually lifting the burden of water shortages from the shoulders of our constituents, who now enjoy the blessings of water 24 hours a day and 7 days a week in a much lesser cost; Whereas, the operation of Manila Water Company in this city has generated economic opportunities and has attracted business investors eventually resulting to employment of our constituents; Whereas, grant of local tax exemption to Manila Water Company shall by all means redound to the benefit of the public, by giving them the opportunity to widen their scope of service as a result of the savings from local taxes. NOW THEREFORE: BE IT ENACTED BY THE SANGGUNIANG PANLUNGSOD IS SESSION ASSEMBLED THAT: Section 1. For purpose of this Ordinance, Manila Water Company, Inc. (MWCI) is hereby granted the exemption from paying local taxes in its operation in Antipolo City in concurrence with Section 133 (o) of R.A. 7160 otherwise known as the Local Government Code of 1991 for the period of January 1 to December 31, 2007. Adopted Unanimously. Manila Water March 22, 2007 Hon. Nixon R. Aranas City Councilor Antipolo City Re: Application for Local Tax Exemption Dear Councilor, Warm Greetings! This is with reference to your letter dated March 12, 2007 re: Manila Water's application for local tax exemption. By end of 2006, below are number of households served by Manila Water per barangay in Antipolo City: Barangay No. of Households Served 1. Bagong Nayon 3,832 2. Dalig 2,725 3. Dela Paz 4,740 4. Cupang 3,924 5. Mambugan 3,235 6. Calawis 7. Beverly Hills 8. Inarawan 9. Mayamot 12,477 10. San Isidro 3,407 11. Munting Dilao 12. San Jose 2,375 13. San Roque 2,817 14. San Juan 96 15. San Luis 649 16. Sta. Cruz 1,450 Total 41,727 ====== As mentioned in the LGU-public consultation we had last March 15, 2007, we expect to spend more than PhP1.1 billion to service an additional of more than 30,000 households by end of CY 2007. These are largely from barangay Dalig, Dela Paz, Beverly Hills, San Isidro, San Jose, San Roque and San Luis. These additional household beneficiaries are on top of the on-going installation of water service connections in barangay Bagong Nayon, lower Dela Paz, Inarawan, lower San Isidro, San Juan, San Luis and Sta. Cruz. The availability of Manila Water service in these areas meant savings of more than 1000% of previous water expenditures for each household. These are significant savings for most of the City's less privileged residents. Moreover, the approximate savings of more than PhP2 million that we received from local tax exemption for CY 2006 was used to fast-track our capital expenditure program to provide water services for the City's constituencies. In 2006, Manila Water spent more than PhP924 million in service related projects in Antipolo. As such, it increased Manila Water service coverage in the City to 38%. Parallel to this, Manila Water transcended its service to socially relevant endeavors under our 'Lingap' programs. To date, several of the beneficiaries of our sustainable development programs are San Jose National High School, San Antonio Elementary School, Peafrancia Elementary School, Good Shepherd Orphanage, Antipolo City Jail/Headquarters, Antipolo City Public Market, Our Lady of Peace and Good Voyage Cathedral, and Barangay San Roque Health Center. Many more public institutions are lined-up for 2007 and beyond. Rest assured that the savings Manila Water will receive will be used to hasten our water and wastewater projects in the City. More importantly, this will redound to further economic opportunities and livelihood to the City's fast-rising constituency. Thank you very much. God bless and more power! Very sincerely yours, (Sgd.) Loida S. Dio Area Business Manager Antipolo-Rizal Business Area