BACOLOD

Capitol reviews joint venture management of Cyber Centre

THE Provincial Government is now reviewing the joint venture agreement entered into by the previous administration to a private entity for the management of the Negros First Cyber Centre after it was discovered that it had not been self-sustaining for several years.

"We are now reviewing the status of the Cyber Centre either we go on with the third party that manages the building or rectify the contract," lawyer Rayfrando Diaz, provincial administrator, said.

"For the past years, the Provincial Government is earning a little from the Cyber Centre that cannot even shoulder for its amortization," Diaz said.

He said that in 2016, the income of the Centre was only pegged at P1.7 million; P9 million in 2018 and this year the expected income is pegged at P14 million.

The Provincial Government infused a development cost of P600 million from a loan it acquired under the previous administration.

It was learned that the Cyber Centre is now managed by a Manila-based group led by Donald Amparado, who is the corporate secretary.

Under the joint venture and usufruct agreement, the Provincial Government takes only some shares from the income of the Cyber Centre. In the previous administration, the Provincial Government has only two representatives in the board with the governor as the vice-chair and the other representative as member of the board while the third party has three board seats, Diaz said.

He also said that under such agreement, the third party will look for potential investors to conduct a feasibility study for a high rise residential building for two more hectares covering the Paglaum Sports Complex.

The Provincial Government has entered into a usufruct agreement with the third party because the BPOs are discouraged in dealing with the government because of slow processing of papers, contracts and some other requirements, Diaz added.


VIEW COMMENTS
DISCLAIMER:

SunStar website welcomes friendly debate, but comments posted on this site do not necessarily reflect the views of the SunStar management and its affiliates. SunStar reserves the right to delete, reproduce or modify comments posted here without notice. Posts that are inappropriate will automatically be deleted.


Forum rules:

Do not use obscenity. Some words have been banned. Stick to the topic. Do not veer away from the discussion. Be coherent. Do not shout or use CAPITAL LETTERS!

sunstar.com.ph