Lowest bidder in city hall project bared
The joint venture of FF Cruz Corporation and Freyssinet Construction offered the lowest bid for the construction of the proposed seven-storey new Iloilo City Hall building. They posted a bid price of P388 million.
Mayor Jerry Treñas yesterday said the joint venture of FF Cruz and Freyssinet offered the lowest bid when compared to the two other construction firms which participated in the bidding on Jan. 13.
The two other construction firms Asset Builders Corporation and Hilmarcs Construction Corporation offered a bid price of P395,162,529.24 and P382,816,858.11, respectively.
Hilmarcs constructed the multi-million Iloilo provincial capitol.
Treñas, however, said the Bids and Awards Committee (BAC) headed by Atty. Edgar Gill will still analyze the regularity of the offered bids as well as their corresponding documents relative to the bidding.
One of the four construction firms which joined in the bidding, the joint venture of AM Oreta and International Builders Corporation (IBC) was disqualified from the bidding after they failed to submit of their required documents regarding the bidding.
The chief executive said he will make an announcement which among the construction firm will get the contract after BAC made its recommendation. The decision on who cornered the contract depends on BAC’s evaluation.
Treñas also said the approved budget cost for the construction based on the new Procurement Act is P449,997,893.54. The city government has a credit line of P455 million before the Land Bank of the Philippines.
Earlier, Gil said the city government posted the bidding price for the construction of the project to P455 million.
The city government entered into a loan agreement with the Land Bank of the Philippines for the construction of the city hall building. The first loan amounted to P350 million and later another P100 million was added because of the rising prices of construction materials.
In earlier interviews, Treñas said the city government has a standby fund of P20 million for the construction of the city hall building. The P20 million was collected from the unpaid taxes of government owned and controlled corporations. The taxes were collected after the court issued a decision giving the city government the right to impose and collect taxes on government owned and controlled corporations.
