KUALA LUMPUR, Nov 27 — Leaders from Umno’s Federal Territories division today suggested a 10 per cent cap on assessment hikes for low- and medium-cost housing in the city, as they lent their voices to the growing chorus of disapproval against the controversial plan.
About a dozen leaders from the country’s most powerful political party said the proposed assessment hike by Kuala Lumpur City Hall (DBKL) would be a heavy burden on the poor and middle income families, if it is increased by at least 100 per cent as indicated in notices issued by the local authority earlier.
“My suggestion is for the assessment hike to not go beyond 10 per cent for low- and medium-cost housing,” said Titiwangsa Umno acting division chief Datuk Johari Abdul Ghani.
“Say your assessment is RM200, 10 per cent will work out to around RM20 and if you spread that out over 12 months, it’s an increase of one or two ringgit, which I think is reasonable.
“But if you paid RM200 for your assessment last year, and then this year you have to pay RM600, that is what people cannot accept,” he told reporters when met after a meeting with public officials on the proposed assessment hike.
Leaders and elected representatives from Umno’s FT division head had earlier spent the morning in a meeting with and Federal Territories and Urban Wellbeing Minister Datuk Seri Tengku Adnan Tengku Mansor, ministry officers and DBKL to seek clarity on the issue.
The proposed increase in assessment rates had left the public up in arms over the past few weeks, after homeowners received notices from the local authority informing them of a hike of between 100 and 250 per cent to their existing annual rates.
Opposition lawmakers, especially those from the Federal Territories, had demanded that Tengku Adnan rescind the notices until City Hall justifies the need for such a large hike.
Officials from the ministry and City Hall had explained that the hike was necessary to raise funds to cover the cost of improving services provided by the local authority, while also considering the fact that this would be the first hike after 21 years.
Johari today said that they could agree to an increase to the assessment rate, but not at the exorbitant levels that were indicated in the notices.
He added that DBKL needs to make the effort to prove that whatever money is collected from ratepayers is put to good use in managing the many public facilities and amenities.
“This has to be a two-way (relationship). The residents will pay their assessments, but DBKL must also deliver on its responsibilities.
“Fixing up streetlights, collecting the rubbish, sealing potholes on the road, managing open spaces... these are all the local authority’s responsibility.
“We proposed that in future, when DBKL sends out its assessments they could also include a brochure to inform the public of what has been done in the area. If the public sees for themselves that the work has been done, that would be more convincing,” he said.
Tengku Adnan, meanwhile, said a panel comprising officials from his ministry and DBKL will go through all objections over the proposed assessment hike after the end of the objection period on December 17.
He indicated that they may consider deferring implementation of the new rates from January as initially planned, but noted that his ministry will only make a final decision on the matter after the panel completes its work.
“We will set up a panel, and we will decide on how much of an increase (to the assessment rate),” he said when repeatedly asked whether the government will go ahead with a January implementation or defer the plan to a later date.
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