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FRANCHISE FEE HIKE. Tricycle operators
would remain in objection even if the franchise fee be
marked down at P6,000 for renewal and P12,000 for new
applicants. The new rates are already 50 percent less
that of the earlier proposed rate adjustments under study
by the committee on public utilities under Kagawad Nerio
Zamora II (inset). Foto DANNY REYES |
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The
proposed increase in franchise fee of tricycle units
might likely be reduced by 50 percent amid mounting
protest from tricycle operators.
This
was bared by City Kagawad Nerio Zamora II, chairman
of the committee on public utilities of the Sangguniang
Panlalawigan who decided to delay the final decision
of the proposed hike.
The
original proposal is to collect P12,000 for a five-year
renewal of franchise fee and P24,000 for new applicants.
This proposed franchise fee was met with vehement objection
from tricycle operators who jammed the city hall compound
during a public hearing last March 3.
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Zamora
told the Chronicle that his committee decided to forego the
deliberation of the proposed hike which was supposed to be
finalized during last Monday's session. The pros and cons
of the new rates will be carefully studied, the lawmaker assured.
The
strongly objected increase might be reduced by 50 percent
once the city lawmakers will finalize the ordinance to implement
the fee adjustments.
The
new franchise fee might be pegged at P6,000 for renewal and
P12,000 for new applicants. However, the coverage will be
reduced to three years, instead of five years. With this computation,
the tricycle operators will be paying P2,000 annual franchise
fee.
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To
several tricycle operators, the 50% slash is still expensive
for them computed now at P2,000 yearly. This is a remarkable
hike since the existing annual franchise fee is P280
only.
Kagawad
Zamora said that the hike is justifiable considering
that the P280 annual fee was never adjusted by city
hall during the past 15 years.
"The
tricycle business is also considered an income-generating
business which has invited several new operators to
pay even the P24,000 franchise fee," the kagawad
pointed out.
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To
the operators, paying P2,000 annually is still beyond the
easy reach of the drivers citing the high cost of spare parts
and fuel. On top of this is the required change of new tricycle
units from two-stroke to four-stroke engines under the Clean
Air Act.
If
the ordinance mandating a P6,000 renewal fee on tricycle franchise,
the city government could generate P12 million in fees from
the tricycle units this year which will cover their franchises
up to 2011.
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