Reform PCAB

A clear conflict of interest – that was how Senate Blue Ribbon Committee vice chair Erwin Tulfo described the troubling situation at the Philippine Contractors Accreditation Board (PCAB). Investigation revealed  the requirement that one must be a contractor to become a member of the PCAB, the chief licensing agency for contractors in the country.

In a privilege speech, Sen. Tulfo expressed his disbelief in what he considered “corruption in broad daylight.” He questioned the rationale behind this, “How can they monitor, oversee and regulate construction projects in the country, whether these are done properly, are not substandard, or are not ghost projects if they themselves are also contractors? Clearly, there is a conflict of interest here!”

This revelation comes amid allegations linking some PCAB members to anomalous flood control projects, prompting Sen. Tulfo to file Senate Bill 1373, which seeks to amend the Contractor’s License Law (RA 4566).

A key provision of the proposed reform is the disqualification of conflicted individuals from serving on the PCAB board. Specifically, anyone who is an owner, stockholder or official of a company that transacts with the government will be barred from board membership. Should a conflict of interest arise during their term, the member will be required to divest within 30 days to retain their position.

Beyond conflict-of-interest safeguards, the bill also proposes stricter qualifications for PCAB board members. Under the new framework, the board will be composed of a chairperson and four members representing key sectors: the Department of Public Works and Highways (DPWH), the Securities and Exchange Commission (SEC), the construction industry, and the academe or civil society. This multi-sectoral composition aims to bring in technical expertise, regulatory oversight and independent perspectives, ensuring that PCAB operates with greater transparency, accountability and public trust.

The Department of Trade and Industry (DTI) is also taking decisive action. Trade Secretary Cristina Roque said that the agency has formed a fact-finding body to review and overhaul the contractor licensing process. According to her, the agency is collaborating with the DPWH and the newly created Independent Commission for Infrastructure (ICI).

DTI said it is studying a more stringent licensing regime for contractors to deter corruption in public works. Proposed reforms include a ban on contractors from serving on the PCAB.

In a significant development, two PCAB officials flagged for violating Republic Act 6713 - the Code of Conduct and Ethical Standards for Public Officials and Employees – have already resigned. Secretary Roque confirmed that the department is now in the process of reconstituting the PCAB board, with new members to be appointed by the President. She emphasized that no new licenses or approvals will be issued until the board is fully restructured and operational.

Institutionalizing transparency and anti-corruption safeguards demand bold, strong and principled leadership. It is not easy, but it is possible when we have public officials who are not just competent, but deeply committed to the mandate of genuine service.

Legislation and leadership though are not enough. They require more than policy. The situation now demands a culture of accountability. We must do more.

Sen. Tulfo’s proposed composition of the PCAB board is a commendable step in the right direction. Members should be selected not based on industry affiliation, but on technical expertise, ethical integrity and a track record of public service. To ensure balanced oversight, the board should also include civil society representatives, engineers, legal experts and auditors – voices that reflect the public interest, not private gain.

To ensure full transparency, we must harness the power of digital tools that make public information truly accessible. The President has made notable strides with the “Isumbong Mo sa Pangulo” website and the DPWH is also preparing to launch a digital portal that will publish an initial list of ghost and severely substandard projects.

And we can go further. Imagine a system where every government procurement process is visible to the public - from contractor licenses and project statuses to audit results and budget allocations. By using secure digital platforms to track bidding and implementation, we can transform every Filipino into a watchdog for infrastructure projects funded by their taxes.

Accountability must be built into the system. There should be a regular and independent audit process in place to scrutinize PCAB’s operations, decisions, and licensing activities. Oversight must be institutionalized.

If corruption will persist within, there must be secure and protected channels for reporting it. This includes establishing a robust whistleblower protection framework that encourages transparency without fear of retaliation.

Equally important is the continuous capacity and culture building of PCAB officials and staff. This can be done via undergoing ethics training and governance workshops to bring forward a culture rooted in integrity, professionalism, and willingness to be of service. Reform is not just about changing rules, it is also about changing mindsets.

These changes, if implemented, will be not just administrative, they will be transformational. They can foster fair competition, elevate infrastructure quality, ensure that public funds are spent wisely, and most importantly, restore trust in our government institutions.

For me, it’s more than policy – it’s personal. A senior citizen like me has seen far too many roads that crumble too soon, bridges that never get finished, and projects that serve no one but the corrupt. We deserve better. Our children, our grandchildren deserve better.

We must build infrastructure that stands the test of time, not just with concrete and steel, but with honesty, transparency and integrity.