Leonardia defends P150M loan for relocation site
BACOLOD CITY -- Mayor Evelio Leonardia yesterday defended his position to enter into a loan agreement with the Philippine National Bank (PNB) amounting to P150 million for the acquisition of new relocation site situated in Purok Arao, Brgy. Vista Alegre, Bacolod City.
Leonardia said that there is a need to purchase a new relocation site in order to address the worsening squatters problem in the city.
"Bacolod City Government already provided relocation sites in Barangay Handumanan, Fortune Town in Brgy. Estefania and Abada-Escay in Brgy. Vista Alegre, yet the problem on squatters still persists," Leonardia said.
He confirmed yesterday that close to 2,000 squatters are still subject for demolition by the landowners.
Leonardia challenged city councilors who did not approve the loan agreement with the PNB to see for themselves the squatters problem since every day the Bacolod Housing Authority is confronted with the problem on informal settlers.
City Councilor Jocelle Batapa-Sigue was one of the two who objected to the loan agreement. Batapa-Sigue cited that there is no need to enter into additional loan agreement since there are more or less ten months left before their term will expire in 2010.
"Bacolod City has now outstanding loan of almost P400 million as a result of the Government Center Project which was started under the administration of Mayor Leonardia during his term from 2004-2007. The loan based on estimates will engage the city to pay a total of more than P500 million in the next 15 years excluding the development expenses such as the roads and the furniture which amounted almost P50 million. With this very major project and with the highest borrowing incurred by the city ever, it is wise to carefully study the direction of borrowing more. I commensurate with the plight of our urban poor but I'm also concerned about all our constituents in Bacolod City, who will shoulder the burden of paying the said loans that we will be leaving behind after our term," Batapa-Sigue added.