TO BUILD A NEW MARKET FOR MANDAUE City to get P400M

2013 quake forced City to abandon market building

Mandaue has a balance of some P180 million for the existing market, treasurer says; the City borrowed about P500 million, also from DBP, to build the market in 2005 New market will be built on the site of the abandoned public market behind Shrine of St. Joseph

THE Development Bank of the Philippines (DBP) has approved a P400-million loan for the Mandaue City Government, City Treasurer Regal Oliva said. The loan is intended for the construction of a new public market, after the existing market building was declared unfit for occupancy following an earthquake in October 2013.

Oliva, in an interview Thursday, said the City is now waiting for a document from the Monetary Board of the Bangko Sentral ng Pilipinas certifying the local government unit’s borrowing capacity.

The certification is required for the loan to be released.

The market building behind the City Sports and Cultural Complex, itself constructed through a loan, was severely damaged when a 7.2 magnitude earthquake struck Cebu and Bohol last Oct. 15, 2013.

Oliva said that the City incurred a loan of about P500 million, also from DBP, for the market building, whose construction started in 2005 during the time of former mayor Thadeo Ouano, now a member of the Cebu Provincial Board.

The facility was not operational until 2012, after the City, under Mayor Jonas Cortes, completed its construction.

Oliva said the City still has to pay a balance of P180 million from the pre- vious loan.

After the earthquake, which killed a vendor after she was hit by falling debris inside the market building, vendors have occupied a temporary market put up in the vicinity of the damaged structure.

Old site

Out the 1,200 vendors, only around 500 continued selling their goods in the makeshift market as some decided not to renew their permit and just wait for the new market building to operate, Market Administrator Musoline Suliva said in an earlier interview.

The new market will be built on the site of the abandoned public market behind the National Shrine of St. Joseph.

Suliva said the target is to start construction before the election ban on infrastructure projects takes effect next year.

Oliva said the construction will cost the City P400 million, but it may have to spend another million to furnish the building.

Aside from the P400million loan, Oliva said the City has also applied for a P200-million “standby loan” from the DBP.

The loan, Oliva added, will not be a huge burden for the City since it will be paid over 25 years.

The loan was included in the City’s annual budget this year. For next year, Oliva said the City will not avail itself of any loan.

Mayor Cortes has proposed a P2.669-billion budget for next year, lower by P39 million than last year’s. The budget includes proposed allocations of P112.5 million for the public market.

The budget is still under review by the City Council.