City sanitation agency says fee system effective

City sanitation agency says fee system effective

JAKARTA (JP): Head of the City Sanitation Agency M. Subasir
said here yesterday that the current system of garbage fee
collection is appropriate and effective.

He dismissed the City Council's proposal to review the system
because it could be made more effective.

According to the current system, neighborhood chiefs collect
monthly garbage removal fees from area residents. The money is
then transferred to subdistrict heads, who deduct 10 percent for
the use of area community and neighborhood units and his office,
before turning in the remaining 90 percent to the sanitation
agency.

A municipal regulation says owners of buildings or houses on a
main street are obliged to pay monthly sanitation fees of Rp
10,000 each. Owners of houses located in areas classified as
first class must pay Rp 7,500, while those living in areas
categorized as second class must pay Rp 3,000.

According to Gubernatorial Decree No. 570/1990, the
subdistrict heads must set aside 10 percent of the total, three
percent of which goes to the subdistrict office, with six percent
going to area neighborhood units and one percent to community
units.

"The system has proven effective and efficient," Subasir said.

Banking service

Councilor Helmy A.R. Syihab recently proposed that the
sanitation agency use banking services. He suggested that all of
the money collected be sent to the bank, with the agency itself
distributing the 10 percent to subdistrict heads, community and
neighborhood chiefs through the banking system.

Subasir said the proposal is too complicated and time
consuming.

Concern exits that subdistrict heads may be mishandling the
funds because neighborhood and community chiefs have complained
they have not received the proper percentage.

"I know nothing of reports that the funds have been
mishandled. My office has detailed records of the flow of money
from garbage collection," he said. "Please report any proven
corruption to me. I have evidences that my office has distributed
the percentages properly," he said.

Helmy, head of the City Council's Commission C for financial
affairs, complained that the current system provokes corruption.

"Many neighborhood and community unit chiefs have not received
the percentages due to them from last year," he said.

He defended his proposal, saying that banking services would
be safer. "The community and neighborhood chiefs would simply
open bank accounts into which the proper percentages could be
deposited."

Hasanuddin, head of the logistics department of the agency,
said yesterday that the agency had paid out a total of Rp 136
million (US$61,818) in percentages from June to December 1994.

"We have disbursed last year's percentages to every
subdistrict in the city."

He explained that late payment was more likely caused by
administrative factors, instead of corruption. (yns)