City to avail of loan to fund new city hall building
Resigned to the fact that the city government could not depend on the money collected from Government Owned and Controlled Corporations (GOCCs) to fund the construction of a new City Hall building, City Mayor Jerry Treñas is now contemplating to avail of a loan from the Land Bank of the Philippines.
The proposed new city hall which is a modern six-storey edifice is estimated to cost more than P200 million. At present, the city has a standby fund of only P32 million for the proposed construction of new Iloilo City Hall Building.
Treñas said they have already made representations with the LBP officials for the city government to obtain a loan. He could not however ascertain yet on the exact amount they could loan from the bank.
No details were released to the media on the terms and conditions on the proposed loan either. It is not immediately known whether the city has the capacity to pay the amortization if ever it pushes through with the loan.
He said they only have a standby fund of P32 million but he wants to push through with the construction of the new city hall building. The mayor said he wants to start the construction of the building before the 90 days banning period takes effect next year in relation with the local elections.
Treñas said the project design of the proposed Iloilo City Hall and the estimated cost of construction is already with the bank for their proper evaluation. He said the details on the construction of the new Iloilo City Hall building will be presented before the Sangguniang Panlungsod next week for final approval.
The proposed new city hall building will have six floors. Each floor has an approximate area of 1,900 square meters. The total area for the entire building needs some 1.2 hectares. The period of completion is 18 months, said Treñas.
Meanwhile, employees presently occupying the old City Hall building will enjoy the comforts of a mall should the city council approve the new plan for the construction of the new city hall building.
The city is eyeing Robinsons Place to temporarily serve as offices for the City Mayor's Office, Treasurer's, Assessor's Office, City Health Office and Permits and Licensing Office. The other offices which could not be accommodated in the mall will be transferred to the Iloilo Terminal Market.
He said Robinsons is the closest to the Iloilo Terminal Market which serves as site for the Sangguning Panlungsod and other offices in the city.
Treñas said he has already discussed his plan with the mall's management. The primary term set by the city is that the mall should not charge the city government of any rental fees. The city will take care only of the electricity bill.
"The mall will not turn penniless under such condition. Customers will even add up as they will transact business inside mall," said Treñas.