Sunday, August 18, 2019

Bidder sues Cebu City Government for awarding project to competitor

Landfill Rehabilitation

A PRIVATE construction firm has filed a civil case against the Cebu City Government over a transaction of the previous administration involving the closure and rehabilitation of the Inayawan Sanitary Landfill.

Expedition Construction Corp. filed a case against the City Government for specific performance with an application for a temporary restraining order (TRO) and preliminary prohibitory and mandatory injunction before a trial court in Quezon City.

It asked the court to stop the implementation of the contract awarded by the City Government to Full Advantage Phils. International Inc. for the closure and rehabilitation of the Inayawan Sanitary Landfill.

The construction company also asked the court to stop any bidding for the improvement and development of the South Road Properties (SRP) Pond A.

In the complaint, Expedition Construction said that last August 28, 2014, they submitted an unsolicited proposal for a joint venture agreement (JVA) for the improvement and development of SRP Pond A and conversion and redevelopment of the Inayawan Sanitary Landfill.

The City, under former Mayor Michael Rama’s administration, then created a joint venture selection committee (JVSC), which was tasked to evaluate and negotiate the terms of the JVA.

On Nov. 6, 2014, the JVSC recommended the acceptance of the unsolicited proposal after it found out that the proponent was eligible in all aspects.

Expedition Construction’s proposal was officially accepted and conferred with original proponent status last Nov. 7, 2014.

On April 25, 2016, the JVSC recommended to the City to submit the terms of the project and the JVA for competitive challenge.

After the recommendation, the City declared the project as officially negotiated on April 27, 2016 and directed the JVSC to start the activities for the competitive challenge.

However, the JVSC still has not proceeded with the competitive challenge despite several follow-ups made by the construction firm.

It was only on Aug. 7, 2018 that Expedition Construction learned that the project on the closure and rehabilitation plan of Inayawan Sanitary Landfill had been awarded to another firm when the City published the award of consultancy to Full Advantage Phils. International Inc.

“Clearly, defendant is already making solid concerted efforts to indirectly revoke the rights already vested upon plaintiff, considering that it had consistently refused and ignored plaintiff’s pleas to proceed with the competitive bidding process,” a portion of the complaint read. (RVC)


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