Garcia: No double funding in CCMC elevator purchase

CEBU, Philippines — Cebu City Mayor Raymond Alvin Garcia has clarified that there was no double funding involved in the purchase of elevators for the Cebu City Medical Center (CCMC), explaining that each contractor handled different procurements.

After the Cebu City Council asked the Department of Engineering and Public Works (DEPW) to clarify the inclusion of two elevators for the CCMC, Garcia said he had already met with the concerned employees.

According to Garcia, it was explained that previous contractors only purchased the elevator carriers and not the complete elevator structures.

"There's no double funding. The original contract will be the preparation of the elevator, but the purchase elevator itself is not included in the original contract and mao nay gi fund sa Piso Mo, Hospital Ko," Garcia said.

Councilor Joy Pesquera earlier sought an explanation regarding the inclusion of two elevators in the contract that DEPW submitted to the council, noting that elevators had already been purchased through the “Piso Mo, Hospital Ko” program under former mayor Michael Rama.

This followed DEPW’s response to the council’s resolution requesting a clear and detailed breakdown of the scope and cost per contract for the construction of the CCMC.

During the session, Pesquera emphasized that she filed the motion after discovering that two construction contracts from M.E. Sicat Construction and C.E. Padilla Construction still included provisions for elevators.

“However, we sourced it out from the budget of Piso Mo, Hospital Ko program of mayor Michael Rama and in the contract with under the ME Sicat as well as in the contract of CE Padilla there’s an inclusion of elevators here,” said Pesquera.

The council has given the DEPW 15 days, or until May 13, 2025, to submit the requested documents.

According to the DEPW’s report submitted to the council, a total construction cost of P1.13 billion has been recorded for the CCMC project since it began.

Records show that Phase 1 of the CCMC reconstruction was awarded to C.E. Padilla Construction Inc. at a cost of approximately P99.97 million. Phase 2 was also awarded to C.E. Padilla Construction Inc., amounting to P300 million.

Phase 3, which includes the completion of the first, lower, and upper ground floors, was awarded to Charlz Construction for P36.2 million. Additionally, the construction of the CCMC lobby fit-out was awarded to McDhennizce Builders, costing P4.9 million. Phase 4 was awarded to M.E. Sicat Construction and AVECS Corporation for approximately P916 million.

In its letter to the council, the DEPW explained that the "Clear and Detailed Coverage" requested by the council corresponds to the “Detailed Estimate of Proposed Work,” which outlines all costs involved in a project. This format is commonly used in construction, procurement, and other government projects under Republic Act 9184 (Government Procurement Reform Act).

“It helps ensure transparency, accountability, and cost-effectiveness,” the letter reads.

The DEPW added that a detailed estimate includes key components such as Direct Costs (materials, labor, and equipment), Indirect Costs (overhead, contingency, and profit margin), General Requirements and Mobilization, and Taxes and Permits.

The department further argued that, in alignment with R.A. No. 9184, they will only prepare the “necessary works and documentation” required under the law. These include detailed engineering designs, activities, and analyses essential for the procurement of infrastructure projects. Any requests beyond this scope, they said, are considered “irrelevant.”

It was reported that following the announcement that the winning bidder for the next phase of the CCMC project would soon be revealed, the Cebu City Council requested a comprehensive report from the DEPW on the project's status, progress, and challenges.

This request stemmed from a resolution filed by Councilor Nestor Archival Sr., who initiated the action due to the prolonged delays in completing the CCMC—a project originally intended to improve the city’s healthcare services. — (FREEMAN)