Makati parking building ‘implemented with undue haste’ and ‘improper’–COA

MANILA, Philippines – An initial evaluationby a special team of theCommission on Audit(COA) on the controversial Makati City Hall 2 parkingbuilding showedthat the project was“implementedwithundue haste” and“improper,”an auditor told the Senate blue ribbon sub-committee Thursday.

The parking buildinghas been the subject of an investigation by the Senate body amid allegations thatit was overpriced.

INQUIRER FILE PHOTO

COA auditorAlexanderJulianowas initially hesitant toread the initialreport of the team, saying it’s supposed to be for “internal consumption” of theCommission and that they have not yet gottenthecomment of the citygovernment.

But Senate Majority Leader AlanCayetano assuredJulianothathewouldnot be violating any lawsince he was ordered to do so by the sub-committee.

Juliano then proceeded and read before the committee the COA’sinitial evaluation of the project, a copy of which was laterfurnished to reporters.

Based on the report, the city governmenthad disbursedan aggregateamount ofP2, 367, 679.633.95 asof Dec. 31, 2013 for the construction of theparking building.

For preliminary services, thelocal governmentspentP11, 974, 900.

The following weretheamountsspentby the city government for the five-phase construction of the parkingbuilding:

Phase 1 P386, 998, 154.20

Phase 2 P499 , 357, 003.73

Phase 3 P599,994, 021.05

Phase 4 P649, 934, 440.96

Phase 5 P443, 806, 161.0

The report also showed that the city government spent P75,614, 953.01 for the Building Management System.

Video by ’s Ryan Leagogo

Amongthe findings of thespecial team was that theproject was “implemented with undue haste as there were no constructionplansyet whenit was biddedout andawarded to Hilmarc’s ConstructionCorp.”

“It appears that the negotiated procurement adopted by the BAC on thecontract of architectural andengineeringservices as improper becausenone of the conditions laid down under Section 53 of theImplementing RulesandRegulations of R.A No. 9184 was present such as failed biddings, emergency cases, takeover of contracts, adjacent or contiguous projects, agency-to agency, highly technical consultantsand defines co-operation agreement,” the report said.

BAC is bids and awards committee.

The report also noted thatthat the city started theprocurement process for Phase3 on Nov. 27, 2009 evenif there was no appropriationyet.

“Thecoveringappropriation ordinance was only enacted on Sept. 14, 2010,”it pointed out.

“It’s alsonoteworthythat the BAC resolution recommending approval of the award HCC was made as early as Jan. 8, 2010, however the Notice of Awards was only served to winning bidder on Sept. 21, 2010. Obviously, the Head of theProcuring Entity waitedfor the passage of theappropriation ordinance before he issued the NOA to HCC.”

Thereport likewise noted thatper COA inspection report datedJuly 7, 2011 for Phase 3, the parking building was already “habitable and ready for use.”

The construction of thecontroversial parking buildingstartedin 2007 during the time of then Vice President Jejomar Binay and wascompletedduring the time of his son, incumbent Makati MayorJejomar Erwin “Junjun” Binay.

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