THE Commission on Audit has recommended that the city government of Maasin, Leyte rescind its contracts with construction firms that repeatedly fail to meet performance timetables despite being granted extensions.
Auditors tagged J’ner Cepada Construction and JQD Construction as two contractors that have posted delays ranging from 32 to 135 days.
Based on the list released by the audit team, J’ner Cepada was awarded the P2.97 million storage building project that was already 62 days behind schedule, the P2.77 million Combado Bridge II project which is 135 days delayed, and the P5.788 million San-Rafael-Nati local road project which is now behind 32 days.
On the other hand, JQD Construction is working on the P1.97 million evacuation center project with a 33-day delay and the P3.97 million Basak Bailey Bridge project that is 79 days off the target completion.
The COA noted that the city government has failed to exercise its option of cancelling the contracts as provided under Item 8.4 Annex E of the Implementing Rules and Regulations of RA 9184 or the Government Procurement Reform Act.
Likewise, under Government Procurement Policy Board (GPPB) Resolution No. 40-2017 and GPPB Circular No. 03-2019, a negative slippage of more than 15 percent in a project was deemed enough for a contractor to be blacklisted.
“J’ner Cepada Construction and JD Construction were delayed in more than one project they had with the city. These delays were incurred despite the grant of contract extensions due to rainfall and ordinary unfavorable weather conditions,” the COA pointed out.
“The manifest insensitivity of these contractors to punctuality …has made them unfit to become and be maintained as partners of the City Government in building the community.
It seems that being late has become common in its project undertakings and the same has been treated by the agency as acceptable,” it added.
