Monday, January 29, 2007 Cebu City to pay ramp builder, but sets conditions
CEBU City Mayor Tomas Osmeña decided to pay the P6 million a contractor is collecting from City Hall so construction of the ramp connecting three Carbon Public Market units can start soon.
Young Builders demanded the amount for additional works not covered in the contract it entered into with the City Government.
Without the payment, Young Builders refused to open Unit 2 of the market, further delaying the ramp’s construction.
Though City Hall agreed to pay, it required Young Builders to sign an agreement for it to post a P6-million bond as safety net, in case the Commission on Audit (COA) disallows the payment.
“I’ll pay it provided they put up a bond, some sort of a protection that if I get a disallowance from COA, we can use that bond to cover me because I have so many disallowances already,” Osmeña told reporters last Friday.
City Administrator Francisco Fernandez said that initially, the City was not willing to pay the P6 million since it was not included in the contract, and there was no appropriation for it when the contract was signed.
Young Builders asked for the amount for additional work and variation orders that City Hall did not authorize.
The P23-million contract included only the ramp’s foundation in Unit 2.
Once the City pays, Young Builders will vacate Unit 2 so construction of the P135-million ramp can start, Fernandez said.
When the City bid out the ramp two years ago, WT Construction was awarded the contract.
The ramp, which is supposed to connect Units 1, 2 and 3, will span Escaño St., Quezon Blvd., and then F. Gonzales St. as exit point for all vehicles.
All of Unit 2’s vendors and legitimate stallholders will be allowed to sell under the ramp once it is completed. (LCR)
