A Special Ad-Hoc Committee constituted by the Plenary of the House of Representatives to investigate concerns from Maryland County Representatives David Saydee about payments of high and un-uniform amount on Land Rental Bid Premium on contract area has recommended the cancellation of the fees.
In its report to Plenary Thursday, August 27, 2010, the Committee said following extensive consultations with stakeholders in the forest sector and authorities of the Ministry of Finance, it agreed that since the Land Rental Bid premium is not one of those fees established in section 14.2 (forestry fees) of the National Forestry Reform Law of 2006, it was imposing excessive taxation on the forest sector and scaring away investors.
The 7-man Ad- Hoc Committee, headed by Hon. Emmanuel Nuquay of Margibi County therefore recommended the passage of a law to abolish the payment of Land Rental Bid Premium in the forest sector.
If the Draft Act is passed into Law, the Practice will discontinue at the expiration of the 2010/2011 National Budget since the fee was already captured and appropriated in the 2010/2011 budget currently before the National Legislature with logging companies in compliance.
Following the reading of the communication in the House Plenary, the draft Act attached to the report from the committee was sent to the Houses' Committees on Agriculture, Fisheries and Forestry; Judiciary and Ways, Means and Finance to report to Plenary on Monday, August 30, 2010.
Section II of the Act to Abolish payment of Land Rental Bid Premium on contract area in the forestry sector of Liberia states, “that the payment for Annual Land Rental Bid Premium, captured in the fiscal year 2010/2011 National Budget shall be paid on a quarterly basis with all payments completed before end of fiscal year, same being 30th 2011, and thereafter no further annual Land Rental Bid Premium shall be made by companies in the logging sector.”