By PRINCE GOLEZ, Manila Reporter and RUBY SILUBRICO
ILOILO City — The government saved about P130 million in the construction of the Iloilo Convention Center in Mandurriao district here.
Department of Public Works and Highways (DPWH) regional director Edilberto Tayao attributed the savings to his agency’s “effective and efficient bidding policy.”
Tayao said the department “[adhered] to an above-board and strictly followed bidding process” provided under the Government Procurement Reform Act and its implementing rules and regulations.
“After two failed biddings, DPWH avoided spending another P128.75 million by introducing better redesigns to piling works, concrete structures and roof framing,” Tayao yesterday said. “This is big money.”
According to him, the project contractor Hilmarc’s Construction Corp. had an original bid plan of P608.60 million.
Hilmarc’s, however, lowered it to P479.85 million when the DPWH and the Department of Tourism allowed the adoption of value engineering, specifically on the structural aspect.
Adopting value engineering “will not change the stability and soundness of the building,” said Tayao.
He said the convention center’s total cost was estimated at P747.16 million, or P63,894 per square meter.
Tayao said the amount is enough to complete the whole building and make it “operational, functional and ready for occupancy.”
“This amount already includes the installation of two escalators, three elevator pits and air-conditioning units,” he said.
It may still decrease, however, after the public bidding for the project’s Phase II, Tayao said.
He had clarified that the convention center is 28 meters high — about six to seven stories — and has a total floor area of 11,693.57 square meters, not 6,400 square meters, contrary to earlier claims.
Earlier, Rep. Terry Ridon of Kabataan party-list filed a resolution seeking a congressional investigation on government projects contracted by Hilmarc’s, including the Iloilo Convention Center.
Ridon claimed that Hilmarc’s bagged the project through negotiated bidding in December last year after DPWH declared a failure of bidding.
Two contractors participated in the bidding that was eventually declared a failure: WT Construction, Inc., which tendered a bid higher than the Approved Budget for the Contract of P482.5 million, and R.D. Policarpio & Co., Inc., which did not meet the minimum equipment requirement.
“It is disturbing to note that in the competitive bidding, Hilmarc’s did not even participate. But through negotiated procurement, it was able to clinch the project,” said Ridon.
He also claimed that the project was overpriced.
Tayao said the convention center project follows “top international requirements” and complies with quality standards for convention centers.
He also pointed out that it cannot be compared with the Makati City Hall Building 2, whose contractor was also Hilmarc’s.
The car park building became controversial following allegations that it was overpriced and that Vice President Jejomar Binay, then the city mayor, received kickbacks for the project./PN
