The All PJ Pro Action Committee (Appac) is calling on Petaling Jaya (PJ) residents not to pay their assessment rates for the second half of this year to protest the 10 percent hike in rates imposed by the city council (MBPJ) since mid January.

The recently formed committee, comprising dozens of PJ residents associations and NGOs, said they are moving into the second part of a pro-longed campaign to get the MBPJ to open its accounts to justify the raise in rates. Appac's previous form, the Residents' Association of Section 5 (RAS5), had told residents earlier this year to pay their rates, but to disregard the hike.

The move is seen to be an aggressive prod at the council, which has remained mum since more transparency on its accounts was called for by RAS5, in November last year.

The council had hinted that there would be an increase during the annual pre-budget 2006 discussion and briefing hosted by the MBPJ (then known as MPPJ) on October 25, 2005.

Thus far, the council has collected some RM77 million for the first half this year, about half of what should have been in the council's coffers. The figures were revealed in a 2007/2008 budget dialogue session for LA21 residents this morning.

Reasons rejected

Appac wants to reduce that figure further. "We have made our objections and appeal to the council to show residents the reasons as to the hike. It was never like this in the past," said Victor Oorjitham ( right ), a senior committee member.

It wants residents to withhold payment of the full amount of assessment fees until further notice.

In a press conference held at MBPJ headquarters today, Appac, which was formed in June and consists of 47 residents associations and neighbourhood watch groups and 28 NGOs, said they continue to reject the reasons offered by the council for the increase, which were increasing operational costs, councillors' allocations and development costs.

"The council has still not been able to identify explicitly exactly as to what they mean by development costs," said Liew Wei Beng, who is chairperson of Taman Mawang/Mega Residents Association.

The budget for this year had been estimated by the council to be RM200.28 million. RM166.48 million has been allocated for administrative costs and the remaining RM33.72 million for development costs.

MBPJ said they hoped to collect RM145 million in taxes (including rates) and RM54 million from non-tax revenues.

Asked how the committee would respond if the council threatened to carry out proceedings for recovery of arrear if residents decided not to pay up, Appac chairperson Edward Lee ( right ) said the committee would be willing to take matters up to court.

Reports implicating MBPJ

"The worst case scenario we can think of is when MBPJ attaches or confiscates property. [However,] this is unlikely to happen and such exercise will prove futile because the basis of claim for the attachment does not commensurate with the uncollected assessment," Lee said.

He added that pledge of legal assistance is applicable only for cases where home owners do not pay assessment for the second of this year as a protest.

Local communities have long voiced that the high assessment rates were somehow linked to the privatisation of billboards. The committee have in fact publicly stated that they have received reports and documentation that implicates MBPJ of a series of impropriety in the handling of the licensing and management of outdoor advertising.

Appac stated that evidence implicated the council's sports and culture club. In fact, two police reports were lodged last month against the council, by Appac members; one June 28, alleging corrupt practices in the handling of outdoor advertising billboard licensee approval and another earlier on June 16, on a handbook minor building issued by MPPJ charged to residents at RM10 per book, for which the receipts were allegedly issued by the sports club.