Bureau of Local Government Finance Opinion

September 15, 2014 BUREAU OF LOCAL GOVERNMENT FINANCE OPINION Mr. Sotero Jimenez, et al. SPJ Gas Station Talavera, Nueva Ecija Gentlemen : This refers to your letter dated March 18, 2014 addressed to Hon. NERIVI SANTOS-MARTINEZ, Municipal Mayor, Talavera, Nueva Ecija, copy furnished the Secretary of Finance (DOF) and forwarded to this Bureau for reference and information, regarding your concern relative to the imposition of a Php200.00 fee for every 60-day period for the sealing/calibration of fuel dispensing pump per nozzle as per Section 3K.04(f 6) of Municipal Ordinance No. 15, as amended, which is believed to be unjust, oppressive, unreasonable and excessive considering that what the calibrator is doing during calibration is only to see that gasoline pump nozzle dispenses correct volume of petroleum product. AcICHD This Bureau referred your letter to the Municipal Treasurer of Talavera under a 1st Indorsement dated August 4, 2014 for comment and/or appropriate action. Under the 2nd Indorsement dated September 4, 2014, copy attached, Mr. Jose M. Pancho, Municipal Treasurer of Talavera, informed that he had already consulted with gasoline owners and discussed the issue. It is further informed that ". . . the determination of the rate of fee was based on the provision of law which states that it must 'commensurate with the cost of regulation, inspection and licensing.' The cost of regulation includes, among others, supplies used, official man-hours, cost of maintenance on equipment used, travel expenses of officers. . . . The DOST Circular No. 2003-11-010, Rule III provides that 'all dispensing pumps used in Retail Outlets must be properly calibrated once every sixty (60) days and sealed by a duly authorized calibrating entity immediately after calibration'. . . . " In view of the said 2nd Indorsement of the Municipal Treasurer of Talavera, we hoped that the said issue has been cleared and if there is any question on the matter, please coordinate with the Municipal Treasurer. Very truly yours, (SGD.) SALVADOR M. DEL CASTILLO OIC-Executive Director