The Sarawak cabinet meeting tomorrow to discuss the highly unpopular new list of annual rateable value (ARV) on all types of properties is expected to bow down to public demand and defer any decision on new assessment rates for next year.

The state government had directed all local councils to notify rate-payers of the new ARV list based on a survey carried out by a private estate valuer C H Williams, Talha & Yeo in 1996.

The new list represents an increase of between two and half times and three and half times the old ARV.

Although the new ARV list, according to the government, would be the basis on which the new assessment rates would be worked out, local councils did not state the percentage(s) for the various types of holdings or properties residential, industrial and commercial.

In the absence of any further explanation from the government, rate-payers have been greatly worried that the new assessment rates payable would be based on the same percentages as the increase as the ARV.

Even several senior leaders of the state ruling coalition parties, including Parti Pesaka Bumiputra Bersatu (PBB), Sarawak United People's Party (Supp) and Parti Bansa Dayak Sarawak (PBDS), as well as various chambers of commerce and industry and Chinese associations have been unhappy.

The Kuching and Samarahan Divisions Chinese Associations have even asked the government to defer the new ARV which in effect asking the authorities to defer any new assessment rates.

Briefing for cabinet

Yesterday, Chief Minister Abdul Taib Mahmud (photo) and several of his senior ministers, including Deputy Chief Minister George Chan Hong Nam, who is SUPP president, and PBB deputy president and Tourism Minister Abang Johari Tun Openg, and the state minister in charge of local government affairs William Mawan, who is also the newly-formed Sarawak Progressive Democratic Party (SPDP) pro tem president, were briefed by the Ministry of Environment and Public Health permanent secretary Sia Yu Loong, on the new ARV list.

Malaysiakini understands that one of the officials present who asked not to be identified was of the opinion that Abdul Taib was unhappy with the property re-valuation list.

The 1996 revaluation exercise was undertaken when the former president of the now-defunct Sarawak National Party (Snap) James Wong Kim Min, was the state cabinet member responsible for local government matters and that his ministry commissioned the estate valuer to carry out the revaluation exercise reportedly for a fee of at least RM1 million.

It is believed that the state government may direct the ministry to carry out a new re-valuation to reflect present property market conditions, and that because of this, the existing assessment rates are unlikely to be increased next year.

Marginal increase

Earlier this month, in his winding-up speech in the state legislative assembly, Mawan, who is the state minister of environment and public health, said next year's assessment rates would represent only "a marginal increase," except in some locations where the increase would be quite substantial. He did not elaborate.

The mayor of Kuching City South Chan Seng Khai has told reporters that the two localities where assessment rates will see a drastic increase in terms of percentages will be Kenyalang Park, one of Kuching's earliest housing estates, developed by a quasi-government agency Borneo Development Corporation in the 1960s, as well old shophouses in Main Bazaar, Gambier Road, Ban Hock Lane and Khoo Hun Yeang Street after the repeal of the Rent Control Ordinance several years ago.

According to him, many of the residential properties in Kenyalang Park have been paying annual assessment rates of around RM100 per annum for many years.

Not revised for years

Similarly, the assessment rates in Kuching's old shophouses have not been revised for many years, even after the repeal of the Rent Control Ordinance.

These rate-payers in these localities are now expected to pay at least four to five times their existing assessment rates. They represent the aggrieved rate-payers making up about 20 per cent of the total rate-payers.

According to official records, there are about 40,000 rate-payers in the area under the jurisdiction of the Council of Kuching City South, 20,000 under the Commission of Kuching City North and about 45,000 under the Padawan Municipal Council.

Abdul Taib is expected to meet the media tomorrow after chairing his cabinet meeting.