URDANETA CITY–This town’s new city hall, the biggest and grandest in the province, has become more of a financial burden to the local government.

Mayor Amadeo Perez Jr., who served his first term in 2001, said there was a significant drop in tax collection when they moved to the new building, which is about five kilometers away from the city proper and requires an additional P10 tricycle ride for people to reach it.

Perez said people prefer to transact business at the old city hall building as reflected in the tax collection increase following his decision to move back to the old site.

The new fully air-conditioned city hall, referred to as the “Malacañang of Pangasinan”, was completed in 2000 at a cost of P80 million, partly financed by a loan.

Perez said their efforts to convince the people to use the new city hall have been in vain. They have also considered leasing out the property but there are no takers.

Currently, about 60 percent of the town’s tax collection arm including the business and mayor’s permit divisions and the treasurer’s office, remain at the old site.

All other departments are holding office at the new site.

Perez admitted the city is spending P250,000 per month for electricity, representing twice its usual consumption at the old city Hall.

The town’s total income, including the P123 million contribution from the government-owned Urdaneta City University, is P523 million. Urdaneta’s Internal Revenue Allotment is P400 million.

Perez said they will continue efforts to persuade townsfolk to begin transacting business at the new city hall and he hopes the building will be fully utilized soon.

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