Thursday, February 08, 2007 P54M lease agreement on use of Handumanan abattoir inked
SIX months from now, the mothballed slaughterhouse in Barangay Handumanan, Bacolod City, which was built during the incumbency of then congressman John Orola Jr., will become operational as a Double AA abattoir.
This came after the memorandum of agreement (MOA) for the P54-million lease agreement between the AVM Bernardo Engineering and the City Government of Bacolod was finally inked Wednesday.
AVM will operate the Handumanan abattoir under the Rehabilitate-Operate-Transfer (ROT) scheme.
Stipulated under the lease agreement is that AVM will rehabilitate the Handumanan abattoir without costing the City a single centavo.
Twenty years after, AVM will turn the property over to the City.
AVM, one of the biggest operators of slaughterhouses in the country, has been courting Bacolod officials to lease the P20-million Handumanan abattoir for nine years.
"Ang hirap palang ligawan ng mga taga-Bacolod (It's difficult to court Bacoleños)," AVM's President and Chief Executive Officer Engineer Antonio Bernardo jokingly told the media after the MOA signing held at the Mayor's Office.
Bernardo said he started negotiating with the City since the time of former mayor Oscar Verdeflor until the present administration.
The deal was supposed to be hatched if it was not blocked by the majority of city council members during the incumbency of former mayor Luzviminda "Joy" Valdez.
City's benefits
Secretary to the Mayor and Task Force Abattoir Head Rogelio Balo said the city is expected to benefit about P3.1 million in revenues in the first year of operations of the Handumanan abattoir.
"The city's income will come from regulatory fees to be charged for every head of cattle or hog to be slaughtered," Balo said.
He added that the City will still be responsible in placement of manpower to control the processing and regulatory fees collection.
"Having a Double AA abattoir, the city can now export meat to other parts of the country, local residents will be assured of safe meat and all facilities and equipment including the area will become hygienic," said Councilor Jude Thaddeus Sayson, vice chairman committee on market and slaughterhouse.
Bernardo, on the other hand, said aside from slaughterhouse operation, his company will also push for other peripheral businesses in the area to make the project more feasible and to create more entrepreneurs in Bacolod City.
He said they will also accept slaughtering works from other parts of Negros Occidental.
At present, AVM has a total of 31 slaughterhouses all over the country and also engages in food processing ventures.
For chickens, goats
As soon as AVM starts operations in Handumanan, Leonardia said the old slaughterhouse at Barangay 35 will still be operated by the City "but probably for the slaughter of chickens and goats only."
Leonardia still instructed Balo to study other ways on what to do with the old slaughterhouse.
"We will see if its still viable to convert this old slaughter house to another profitable edifice," Leonardia said.
But in case the City will no longer use the old facility, the donor - the Lizares family, will have the right to forfeit the donation.
As to the employment of people, Bernardo said their company has a standard procedures being observed in the hiring of their people.
Bernardo said that although they will prioritize the city's casual employees who are presently detailed at the slaughter house, those who are not qualified will be dismissed.
AVM is employing about 50 to 75 people, said Bernardo.(EASD)
