City hesitant to pay P28.5-M bill for Mambaling access road to SRP

THE Cebu City government is reluctant to pay a P28.5-million bill issued by  TOA Corp. for paving  the barangay Mambaling access road to Cebu City’s South Road Properties (SRP).

Councilor Jose Daluz III said he wanted to consult Rep.  Tomas Osmeña of the city’s south district first.

Osmeña said in an earlier  interview that the city should not pay TOA because the Mambaling access road for instance had to be redone by the city because of poor foundations.

“Congressman Osmeña knows better because he was there when the project was implemented and he knows better the contract,” Daluz told Cebu Daily News.

Daluz said he also wanted to wait for the opinion of the Commission on Audit (COA) on the payment claims.

“We really have to put a final settlement to the issue so that if we decide not to pay, TOA can seek other available remedies,” Daluz said.

TOA Corp. is trying to claim P28.5 million in price escalation from  the city government for the firm’s work on  the access road.

Daluz said  he did not have any background about TOA’s claims although he sponsored the resolution to release  payment to the construction firm based on the recommendation of the ad hoc committee, which reviewed the claims.

“The claim for payment was given by the executive.  I just sponsored it being the chairman of the committee on budget and finance,” he said.

Daluz said that based on the report of the ad hoc committee that Rama created to review TOA’s payment claims,  there was legal basis for the city to pay the contractor.

“We do not want any payment claims to remain for any part of the SRP so that it could go forward,” he said. Chief Of Reporters Doris C. Bongcac