CITY of San Fernando Mayor Edwin Santiago on Monday, March 9, asserted the need to rehabilitate the old public market here amid mix reactions from the community.
Santiago said the local government has conducted a thorough study on the situation of the existing decades-old public market located at the city’s downtown area.
“The rehabilitation of the old public market is not a simple program. We conducted a study wherein we tried to answer three questions: Is it necessary? If yes, when and how?” he said.
In line with the study, Santiago said the local government conducted the survey twice -- within the three kilometer and five kilometer radius of the facility.
“In both surveys, 97 percent of the respondents voted for the rehabilitation of the old public market, including the people from the market,” he said.
Santiago added that the old public market has a negative impact in the economic and tourism activities here, especially that it is located at the center of the city.
“It cannot properly showcase products and commodities anymore because of its current state. There are also times when tourists visit our city and show high expectations because this is the province’s capital, but become disappointed when they see our public market. So there is already a negative effect,” he said.
The local chief executive also cited reports of various government agencies such as the Bureau of Fire Protection (BFP) and Department of Public Works and Highways that the facility is a fire and safety hazard and is not conducive for trading.
“Every year, the BFP makes a report that the old public market is a fire hazard. Anytime it can catch fire. Reports from our engineering office and DPWH say that it is dark and hot inside, and may collapse easily,” he added.
Santiago said several mayors have attempted to rehabilitate the facility but did not push through due to some reasons of each administration.
Deferred grant
Meanwhile, Santiago explained the reason behind the deferment of the supposed financial grant awarded by Malacañang for the rehabilitation of the public market.
He said he asked for the help of then Special Assistant to the President now Senator Christopher “Bong” Go for assistance on the funding of the said project, which the latter reportedly agreed to.
“They told us that they will include it in the assistance program of the national government so we submitted the necessary documents twice and presented to the national government,” he said.
However, Santiago said the supposed grant was deferred along with various programs across the country, especially relating to economic enterprise, to give way for the national government program’s Build Build Build program.
“A public market is self-liquidating and self-sustaining so it is considered an economic enterprise so the national government said they will not be prioritizing those,” he said.
Status of loan
When the grant was deferred, Santiago said the technical working group conducted a study anew on how to pursue the project.
He disclosed that that the Presidential Management Staff and Department of Budget and Management recommended for the city government to enter into a private-public partnership (PPP) program instead.
“Under PPP, the interest rate would be six to 22 percent and it would be the vendors who will pay for that but if we take loan, the interest rate will be at 3.6 percent to 3.7 percent only, and it will be the city government that will shoulder the payment,” he said.
Moreover, Santiago explained that the P650-million loan, which will be contracted with Landbank of the Philippines (LBP), is in the form of progress billing.
This means that LBP will be releasing the money in tranches, not in bulk, when the city government needs to issue payment to the project contractor.
Santiago said the City Government is open for discussion with concerned citizens who want to raise their suggestions or apprehensions about the project.
“We welcome healthy discussions. After all, we are looking after the interests of the majority here,” he said.