CCMC bidder to Rama: Revoke bid failure order

CEBU, Philippines - The second lowest bidder in the construction of a new Cebu City Medical Center has asked Mayor Michael Rama to revoke his order declaring a “failure of bidding,” calling it “highly illegal and irregular.”

“Our right to be awarded the contract for your project is a property right which we cannot be deprived of without due process and only in the manner and under the grounds prescribed by existing law,” said architect Henry Steve Olonan, managing officer of SCDI-MCEI joint venture.

The Manila-based company gave the second lowest bid of P281 million for first phase of the construction.

In a two-page letter to the mayor, Olonan said there is failure of bidding only if no bids are received; all prospective bidders are declared ineligible; all bids fail to comply with all the bid requirements or failed in the post-qualification evaluation.

The bidder with the lowest calculated responsive bid/highest rated responsive bid refuses, without justifiable cause, to accept the award of contract; and that no award is made in accordance with Section 35 and 41of RA 9184and its Revised implementing rules and regulations.

Olonan said none of the grounds present during the bidding could justify the declaration of failure in bidding and a subsequent conduct a new bidding for the CCMC contract.

That is why, he said, Memorandum Order No. 2014-2435 that the mayor issued would cause “undue damage or injury” not only to them but also to the constituents of the city.

“We vehemently object to your Memorandum Order No. 2014-2435, the same being highly illegal and irregular, being totally devoid of any factual and/or legal basis and is clearly and obviously intended to unduly influence or exert undue pressure on the BAC members and/or officials of the city government to take an action which favors or tends to favor a particular bidder,” read the January 15, 2015 letter. 

The firm was supposed to undergo a post-qualification evaluation after Cebu’s WTG Construction and Development Corp. and Manila’s E.M. Ureta (which gave the lowest bid of P274.98 million) were post-disqualified for allegedly being “non-responsive.”  This was after the BAC members found out that the documents submitted contained “discrepancies and false information.”

Oronan’s company was informed on November 26, 2014 that it will go through a post-qualification and was asked on December 16 to submit additional documents.

The firm, he said, expected that the project will be awarded to them after the termination of WTG and E.M Ureta’s post-qualification evaluation, as mandated under Section 34.6 of Rule X, Revised Implementing Rules and Regulations of Republic Act 9194.

Oronan said they were “dismayed and shocked” after learning that Rama wanted to rebid the project.

He said this is “actionable” under Section 3 (e) of Republic Act 3019, as amended, the Anti-Graft and Corrupt Practices Act.

“(Rebidding) will render ineffectual the gains that the BAC had attained in the conduct of the bidding, wherein we submitted the lowest calculated bid price and thereafter leave the BAC to exercise its mandate and functions under Section 12, Article V of RA 9184 and its Revised IRR to conduct post-qualification evaluation of our firm unfettered by any pressure or influence,” he said.

He also said Memorandum Order No. 2014-2435 “intrudes into or usurps the function of the BAC to declare a failure of bidding,” reminding its members that obeying an “irregular if not downright illegal” order would also make them  administratively, criminally and civilly liable.

City attorney Gerone Castillo said they already drafted a legal opinion in response to SCDI-MCEI’s complaint but that he would discuss it first with the mayor.  (FREEMAN)