MPSJ defers low-priority projects in light of lower revenue

An aerial view of the MPSJ headquarters and surrounding neighbourhood. After 22 years as a municipality, MPSJ will finally be upgraded to a city council. — Filepic

SUBANG JAYA Municipal Council (MPSJ) has delayed certain low-priority projects and programmes to offset the reduction in its revenue in light of the movement control order (MCO).

Its president Noraini Roslan, however, did not elaborate on the specific projects that were involved.

She said that from January to July 31 this year, there was more than a RM20mil reduction in MPSJ’s overall revenue, compared to the same period last year.

The revenue collected between January and July was RM160.5mil, compared to last year’s collection of RM189.6mil.

The amount comprised collections from assessment, licence and permits, service charges, sales, rentals, interests and acquisitions from investments, fines and penalties as well as other government agencies.

“Business owners in the municipality still paid their business licences and licence renewals, but there was a decrease in assessment payments,” she said after chairing the council’s full board meeting yesterday.

Noraini said a councillor at the meeting asked about MPSJ’s approach towards assessment defaulters since there was a drop in revenue for the council.

“Do we still take the same action as before (against the defaulters) with the Covid-19 pandemic upon us?“On one hand, we don’t have enough money to even pay the cleaners but on the other hand, people in general are having difficulty making payments now,” said Noraini.

She said the council was contemplating extending the grace period for assessment arrears.

She explained that the council had to be lenient without compromising on the quality of services offered.

“Whatever we collect in revenue, we give back to the community.

“Fortunately, we have some reserves,” she added.

MPSJ collected about RM85.3mil in assessments from January to June. The arrears amounted to RM6.6mil.

“We will have to gauge the assessment arrears in the next few months to see the situation,” said the council president.

Presently, assessment defaulters have two months to settle arrears before being issued notices.

If they still fail to pay up, the council can proceed with the seizure of movable properties.

On Subang Jaya’s anticipated city council status, Noraini said the inauguration would take place on Oct 19 at Dewan Jubilee Perak at the State Secretariat building in Shah Alam.

After 22 years as a municipality, MPSJ will finally be upgraded to a city council.