City gov’t awaits CLO recommendation on housing project
After the Ombudsman Visayas has terminated the case filed by Ace Builders Enterprise (ABE) against the present and previous members of the city council for withholding the fourth billing amounting to P4,373,873.37, the city government must wait again for the recommendation of the City Legal Office (CLO) on what to do with the P130-million housing project.
Mayor Jerry Treñas said all the documents regarding the housing project are with the legal office. The legal office will determine on what to do with the housing project. Initially, there are three possible options left for the city government — to sell the property, enter into a joint venture with a private developer and continue the project.
Treñas said the option to continue the project is the least and last option the city government will exercise. The consideration to sell the property was placed on the priority since the value of the property in Barangay Ungka I, Pavia increased. He did not say on how much is the current price of the property which was the supposed site of the city’s socialized housing project.
The mayor did not set a deadline when the city legal office will come up with their recommendations regarding the housing project. The housing project was initiated by former Mayor Mansueto Malabor and was implemented during the first term of Mayor Treñas. The construction of the project was stalled since 2001.
The city government has almost paid up the P130 million loan from Land Bank of the Philippines (LBP) and yet no return of investment was collected until this day. While, there are still three pending cases filed against previous and current members of the legislative council regarding the housing project. Only P125 million went to the project after P5 million was given to the group of persons who lobbied before the bank for the approval of the loan.
The controversy in the housing project was made public after a subcontractor decried ABE’s failure to pay them. The ABE represented by its owner Alexander Trinidad had the housing project subcontracted with different contractors. The subcontractor surnamed Gonzalez disappeared after he divulged the use of substandard materials in the construction of some 22 housing units in Pavia. None was heard from the subcontractor after the controversy erupted.
The issue on whether to pay the contractor the fourth billing has divided the legislative council. There were several resolutions to rescind the contract between the city government and the contractor.
The three pending graft cases filed against city officials was lodged even before Trinidad sought the Ombudsman’s help to recuperate whatever he spent over the housing project. The cases against the present and previous city officials have yet to be decided. Though, in previous years, there were speculations, the graft body has already rendered decisions over the housing project.