THE Commission on Audit has granted a private contractor’s P3.146 million compensation claim against the provincial government of Iloilo for a road project completed way back in 2018.
COA Chair Michael G. Aguinaldo and Commissioner Roland C. Pondoc ruled that Iloilo Grand Emperor Builders Corporation (IGEBC) is entitled to get paid for the construction of the access road and site development of Don Valerio Palmares Sr. Memorial District Hospital in Passi City.
Records showed the public works contract was awarded by the provincial government to the IGEBC on April 19, 2017 based on the recommendation of the Provincial Bids and Awards Committee.
The notice to proceed was issued on June 5, 2017, with the contractor given 105 days to complete the project.
A certification issued by the provincial engineer dated February 1, 2018 declared that the project was “satisfactorily completed in accordance with the plans and specifications.”
However, the IGEBC’s billing was not paid because the P3,145,854.48 budget was not obligated.
This prompted the contractor to file a petition for money claim before the COA Commission Proper, asserting that it has complied with its obligations under the 2017 contract even if variations to the work program required by the provincial government increased the original contract amount to P3.458 million.
In its reply, the provincial government acknowledged the obligation and expressed willingness to settle the unpaid amount. It likewise clarified that the non-payment was only caused by the fact that the contract was not taken up in the accounts payable for fiscal year 2017.
