Explain hiring of contractor, Tomas tells Rama

Former mayor and congressman Tomas Osmeña has asked Mayor Michael Rama to explain the city government’s hiring of a “disqualified” contractor to undertake the reconstruction project of Cebu Carbon Market 2 in Barangay Ermita.

In a letter dated October 8, Osmeña wrote to Rama that he wants to be enlightened on the propriety and validity of the award of the project to Geety Realty and Development Corp.

“May you shed light on this very crucial public concern within 10 days from receipt hereof that may have been caused by gross negligence and/or abuse of authority in the appropriation of the government funds and award of a big project to a disqualified contractor who violated the law,” Osmeña wrote.

On March 20, 2013, the city government awarded the project to Geety Realty which tendered the lowest calculated responsive bid at P167 million. On April 18 that year, the city’s Bids and Awards Committee issued Notice to Proceed to the developer.

“Based on the said award, Geety Realty and Development Corp. sought for an advance payment consisting of 15 percent of the total cost of the said project amounting to P25,101,028.61 which the City Treasurer’s Office subsequently granted dated March 7, 2014,” read the letter.

Osmeña attached to his letter the disbursement voucher and official receipt from the treasurer’s office.

“However…it turned out that the said company is, at the outset of the bidding, disqualified to participate,” he wrote.

One of his bases is that the contractor’s “track record requirement does not even meet the size and range and license category set by the Philippine Contractors Accreditation Board to engage in such hefty infrastructure project with the city government.”

Osmeña alleged that the contractor is subject on an ongoing investigation by the Department of Trade and Industry-Legal Service for submitting a “spurious Income Tax Return and Tax Clearance” to support its financial qualifications for 2014 to 2015.

“With these cogent reasons, the award should not have been haphazardly awarded to said company whose eligibility in the bidding should have been struck down by the Bids and Awards Committee,” he wrote further.

He said he will wait for the response of Rama before stepping up another action on the alleged anomaly.

“Give him a chance to clean up his office,” Osmeña said.