Council wants answers on unfinished CCMC

CEBU, Philippines — The Cebu City Council is seeking answers on why the Cebu City Medical Center (CCMC) remains unfinished more than a decade after construction began, despite billions of pesos in contracts and repeated findings by the Commission on Audit (COA).

City Councilor Dave Tumulak, chair of the Budget and Finance Committee, said an executive session has been called to clarify how contractor Dakay Construction and Development Corporation can proceed with Phase V when issues involving the earlier phases remain unresolved.

The council resolution seeking the executive session detailed the cost of each construction phase.

Phase I was awarded in 2015 to C.E. Padilla Construction, Inc. for P514,972,345.12.

Phase 1.1, covering interior masonry and mechanical, electrical, plumbing and fire protection works on the fifth and sixth floors, was awarded to Charlz Construction in 2020 for P36,196,753.70.

Phase II, also undertaken by Padilla, cost P283,495,715.25, while Phase III was awarded to C.B. Garay Philwide Builders for P99,898,060.32.

Phase IV, awarded in 2022 to M.E. Sicat Construction, Inc./AVECS Corporation, carried the largest contract at P907,999,869.74. The Sicat-AVECS joint venture posted only 4.19 percent accomplishment before its contract was formally terminated in January 2023.

Records showed that P268,982,605.20 had been paid under the Phase IV contract.

Phase V was awarded to Dakay Construction and Development Corporation in June 2025 for P683,938,459.86.

“Phase 1, 2, 3, and 4 was not properly terminated. So, we called a meeting with DEPW and they furnished us a copy, and it was found out, tino-od jud, no?” Tumulak said in an interview with The Freeman and Banat News.

“Once in a blue moon, ingon ani nga issue nga how come Phase 1, 2, 3, 4, not properly terminated kay wa mahuman… based on plan. But nakahatag na ta sa uban og funds,” he added.

The issue resurfaced after Dakay wrote Mayor Nestor Archival on July 13, 2026, raising concerns over the hospital's busduct system and seeking guidance from COA.

Civil works under Phase V have since been placed on hold, with Dakay requesting a suspension of work pending the resolution of the discrepancies.

“Mahadlok man sad si Dakay. Mo-commence gani, naa sya’y kanang request niya of suspension,” Tumulak disclosed.

An inspection report prepared by 25 volunteer engineers and architects showed that the original contract amounts for Phases I to IV totaled P1,842,563,744.13, with P967,369,765.88 already paid to contractors as of July 2025.

The same report estimated that correcting deficiencies from the ground floor to the third floor would cost another P403,413,270.

The latest COA audit report further raised concerns over the project, noting that P1.13 billion had already been spent against a total contract value of P1.9 billion while major deficiencies remained unresolved.

COA cited inadequate engineering preparation, poorly documented contract extensions, prolonged suspensions and missing technical records that hindered a complete evaluation of the project.

Structural and workmanship issues from earlier phases, including nonfunctional systems and defective work, were also identified.

The state auditors directed the city government to explain the prolonged delays, recover possible overpayments and prepare a master plan clearly identifying the scope and responsibilities for each phase.

“So, the council requested for an executive session to enlighten and to pave way also on the Dakay Construction on how to commence, how to proceed sa project. Because naay target nga mahuman og December…On this manner, probably there should be an investigation,”Tumulak said.

Asked whether the hospital could still be completed by December, Tumulak acknowledged the uncertainty.

“Depende, based on the investigation ani… Or unsa’y buhaton sa City Council, or sa Engineering itself. Kay sila man nagbuhat diha sa POWE. Ngano wa mag-jive?”Tumulak said.

He also acknowledged public frustration over the long-delayed project.

“Well, kani karon as ako na’y Chairman sa Health, ako jud ingon anihon.”

Tumulak said funds for the project remain available, although contractors have already received mobilization payments.

“Naa pa, pero naa’y gi-hatagan na nato sila ba’y mobilization. It’s 30%… on the contract amount,” he said.

Asked whether another budget allocation might be needed, Tumulak said, “Dili… dili pa ko ka-kuan right now,” Tumulak said. — /FPL (FREEMAN)