Law not applicable to LGUs

THE Solicitation Permit Law does not prohibit the Cebu City government from raising funds for the reconstruction of the Cebu City Medical Center (CCMC) building, the city’s legal officer insists.

Jerone Castillo, the city legal officer, said the law only regulates fund drives by the private sector, semi-government entities, association and organizations.

“There is no mention of local government units. This means that the law does not apply to the LGUs,” Castillo said.

Unless a cease and desist order (CDO) is issued by a court, Castillo said, there is no basis to stop the city from pursuing its fund raising campaign.

“This is a legal issue and we are of the opinion that the law does not apply to the city government. We have to make a stand and unless there is an order from the court prohibiting us, we will continue with the fund drive,” said Castillo after meeting with other city hall lawyers to discuss the Solicitation Permit Law.

Castillo said the city’s fund raising activity is based on the authority given to LGUs to “Generate and Apply Resources” provided for in section 18 of the Local Government Code which states: “Local government units shall have the power and authority to establish an organization that shall be responsible for the efficient and effective implementation of their development plans, program objectives and priorities; to create their own sources of revenue and to levy taxes, fees, and charges which shall accrue exclusively for their use and disposition and which shall be retained by them…”/Chief of Reporters Doris Bongcac