Contractor TOA Corp. may soon get paid for completing six years ago the Mambaling access road of the South Road Properties.
Cebu City Vice Mayor Joy Augustus Young said the City Council is now convinced of the need to settle the city’s obligation with the contractor.
“It appears to us that it is really an obligation,” Young said.
Young invited Edwin Merin, TOA consultant to a completed project presentation at the vice mayor’s office on Monday noon.
Present were Young, Councilors Margot Osmeña, Noel Wenceslao, Jose Daluz and Edgardo Labella, City administrator Jose Marie Poblete and City Engineer Kenneth Carmelita Enriquez.
Young said Poblete requested the council for an audience with Merin who wanted to present additional documents on their payment claims.
TOA is seeking payment of P28.5 million for the Mambaling acess road project.
Merin appeared in a July 13 special session when he sought the council’s support on their payment claims.
“At that time his presentation was not yet complete so the council withheld a decision. He appealed anew for the company to be paid,” Young said.
Mayor Michael Rama said the decision whether or not to pay TOA Corp. is his to make.
“I don’t know why the vice mayor is talking about paying when it should always emanate not from the legislative but the executive,” Rama said.
Young agreed, saying payment of TOA does not need council intervention.
He said that council intervention was only needed if Rama submits to them Supplemental Budget 2 which included the P28.5 million payment for TOA.
Young said the council heard Merin’s appeal upon Poblete’s request.
He said Merin also showed the councilors copies of their construction contract with the city, their billing, pictures of their completed road project and a copy of the Commission on Audit (COA) report which authorized release of payment.
“We do not want to do away with our obligation. That’s going to be another Rallos and Ting case if we do not pay,” said Young.
The Supreme Court, meanwhile, asked the city government to settle its unpaid dues with the Rallos heirs for the expropriation of a lot in Sambag I which was used for a road.
Councilor Jose Daluz said that while the city was willing to pay for the lot, they are challenging the basis for the computation of the city’s unpaid due which has already reached P224 million.
Daluz said it would also be best for the city to negotiate with Roque Ting on his claims for payment for his lot located under the South Coastal Road bridge which connects the SRP and Talisay City.
Should the city decide to negotiate, Ting was willing to accept a P13.5 million compromise fee.
Daluz said this would save the city millions. Without a compromise, the city has to pay Ting about P50 million.