RESOLUTION NO. 2021-1224 (Co-Sponsors: Committee on Commerce, Trade and Industry, Economic Enterprise and Cooperatives and Committee on Ways and Means) "A RESOLUTION REQUESTING THE HONORABLE CITY MAYOR TO IMPLEMENT PARAGRAPH (3), ARTICLE 61 OF REPUBLIC ACT NO. 9520, OTHERWISE KNOWN AS THE "PHILIPPINE COOPERATIVE CODE OF 2008," IN RELATION TO THE BUREAU OF LOCAL GOVERNMENT FINANCE (BLGF) MEMORANDUM CIRCULAR NO. 31-2009, DATED OCTOBER 7, 2009, AND REITERATED UNDER MEMORANDUM CIRCULAR NO. 2011-001-2016, DATED 14 NOVEMBER 2016" WHEREAS, the City Cooperative Development Council, during its 3rd Quarter Meeting on 08 July 2021, enacted Resolution No. 2021-002, entitled: "A resolution requesting the Honorable Samuel S. Co, City Mayor, Pagadian City through Engr. Fernando Y. Pameron, Chairman, Committee on Cooperatives Development, to grant tax exemptions as stated on Republic Act 9520, Article 61 and BLGF Memorandum Circular No. 2011-001-2016 re-exemption of cooperatives from the payment of local taxes, fees and charges," and forwarded the same to this body for its consideration; WHEREAS, this body, after jointly reviewed and deliberated by the concerned Committees-to which the foregoing request was initially referred-noted the importance of following information and observations as herein stipulated, to wit: Paragraph (3), Article 61 of Republic Act No. 9520 provides that all cooperatives, regardless of the amount of accumulated reserves and undivided net savings, shall be exempt from payment of local taxes and taxes on transactions with banks and insurance companies; The Bureau of Local Government Finance (BLGF) issued Memorandum Circular No. 31-2009, dated 07 October 2009, granting exemption to all registered Cooperatives from the payment of local taxes fees and charges, and further reiterated such directive through Memorandum Circular No. 2011-001-2016, dated 14 November 2016; In the same Memorandum Circular No. 31-2009 issued by the BLGF provides further that cooperatives transacting business, with both members and non-members, are required to obtain or secure a Mayor's Permit, which is implemented under the police power of the local government unit to protect public interest and in furtherance of the general welfare clause enshrined both in the Constitution and the Local Government Code (Section 16-General Welfare Clause), and pay the commensurate cost of regulation, inspection and surveillance of the operation of its business but not exceeding One Thousand Pesos (P1,000.00). Likewise, said cooperatives shall secure a Community Tax Certificate (CTC) and pay the basic tax of Five Hundred Pesos (P500.00) as a juridical entity as well as miscellaneous fees on services rendered by the Local Government Unit such as, but not limited to, garbage and inspection fees; and Non-compliance with the above-cited provisions of laws, rules and regulations shall be dealt with pertinent laws, rules and regulations. WHEREAS, in the light of the foregoing, it is thus urgently necessary to implement and enforce Paragraph (3), Article 61 of Republic Act No. 9520 otherwise known as the "Philippine Cooperative Code of 2008," hence, this request; NOW, THEREFORE, on seconded motion of Honorable Fernando Y. Pameron, be it RESOLVED to request, as this body hereby requests the Honorable City Mayor to implement Paragraph (3), Article 61 of Republic Act No. 9520 otherwise known as the "Philippine Cooperative Code of 2008" in relation to the Bureau of Local Government Finance (BLGF) Memorandum Circular No. 31-2009, dated October 7, 2009, and reiterated under Memorandum Circular No. 2011-001-2016, dated November 14, 2016. RESOLVED FURTHER, to let a copy of this Resolution be forwarded to Honorable City Mayor Samuel S. Co, this city, for information and favorable action; and all other offices concerned, for information, guidance and/or appropriate action. APPROVED UNANIMOUSLY. I HEREBY CERTIFY to the correctness of the foregoing resolution. MAPHILINDO Q. OBAOB, MPA, MAGaD Verified: City Vice Mayor/Presiding Officer ATTY. TEODORO M. QUICOY SP Member/Floor Leader Attested: ELKID P. NACUA Secretary to the Sangguniang Panlungsod