BAGUIO CITY – The Office of the Ombudsman was recently petitioned to investigate another graft charge filed against Mayor Benjamin B. Magalong in relation to the questionable implementation of the construction of the multi-million Irisan barangay hall that was funded under the annual budget of the public works department.
In a 28-page affidavit complaint, Councilor Maria Mylen Victoria G. Yaranon also prayed that the Ombudsman preventively suspend the embattled mayor pursuant to existing laws, rules and regulations to stop him from influencing the investigation that will be conducted that will warrant the filing of the appropriate graft charges against him.
At the onset, Mayor Magalong presented himself as a better implementor of projects and that he would ensure the quality and standard which he demands from other government agencies pursuant to his alleged crusade against graft and corruption.
However, he should be made liable for the reported failure in the faithful implementation of the Irisan barangay hall project and the wise utilization of funds as he did nothing to prevent its alleged questionable implementation despite regular appraisal by the DPWH monitoring team of the project’s status.
Worst, Yaranon claimed that the city and its people were prejudiced for Magalong’s failed actions and that the city government has no other choice but to appropriate public funds for the project’s completion instead of wisely using these added funds for other badly needed projects and programs.
Likewise, Yaranon also charged Magalong and other officials deemed liable by the Ombudsman for grave misconduct, gross inexcusable negligence and acts prejudicial to the best interest of the service.
Earlier, the city government entered into a memorandum of agreement (MOA) with the Department of Public works and Highways–Cordillera Administrative Region (DPWH-CAR) on November 18, 2021 for the implementation of the project construction or improvement or rehabilitation of the Irisan multipurpose and barangay hall amounting to PhP50 million.
Under the MOA, the city shall undertake the procurement of the project through competitive bidding; ensure that all participating qualified bidders are registered in the DPWH civil works registry; implement the project pursuant with the approved program of works, plans and specifications, construction methodology, project cost and time duration approved by DPWH; comply with the DPWH materials testing requirements and quality control policies; evaluate and approve, in coordination with DPWH, all requests for variation orders, as-stake, revised plans among others and give full and complete access to DPWH inspectorate teams.
Further, the mayor allegedly agreed that the city government shall be fully accountable for all the funds released to it by the DPWH, that the agency shall release the funds to the city by way of cash advance in the initial amount of PhP25 million and the succeeding amounts or billings supposedly by way of actual accomplishments.
On December 18, 2021, the project was awarded to KHATIB Construction with a contract duration of 350 calendar days to supposedly expire on December 8, 2022 and a contract amount of PhP42.7 million.
On March 20, 2022, a meeting was held by the DPWH and the city representative where it was pointed out to the city that there was significant difference in the elevation of the footing and the size of columns compared to what was specified in the plans and that any changes made in relation to the project must be done in accordance with the MOA. During the said meeting, no variance order was submitted by the city and it was made known that the DPWH authority to use variance is limited to only 10 percent of the contract amount and beyond 10 percent needs clearance from the central office.
On August 22, 2022, the DPWH again found out that steel reinforcements installed in the beams of the ground floor consists of mixed 25mm grade 40 and grade 60 while it is clear in the said instruction that 25mm grade 60 only be installed.
Moreover, it was stated in the communication addressed to the city that it is reminded that still, to date, no approved variation order, technical justification nor as-stake plan were submitted and received for concurrence of the DPWH, hence, the city’s supervision has no technical basis, and required specifications were not followed.
On September 22, 2022, a status of project report by way of a memorandum was issued by the resident engineer, project inspector and project engineer of the DPWH which stated among others that the project as of date, the project was only 36 percent completed. It was noted that non-conformities to the original plan was previously reported have been continuously implemented without basis of revision and that there was still no approved variation order, technical justification nor as-stake plan, time suspension or extension submitted for the concurrence despite verbal and written requests.
Yaranon pointed out that despite the adverse findings and reports and demanded compliance with the MOA, particularly on the required variation orders, Magalong allegedly allowed KHATIB Construction to be paid as per fund utilization report dated April 4, 2023 of Acting City Accountant Freda Jimenez.
According to the complaint, the contract status report by the DPWH covering June 2-14, 2023 showed that the physical status accomplishment as of December 31, 2022 was only 64 percent or a slippage of 36 percent and for March 31, 2023 was only 78 percent or 22 percent slippage. The slippage as of June 14, 2023 is 22 percent.
On the financial status, Yaranon claimed that some PhP32.4 million was already transferred to the city.
In a memorandum dated November 7, 2023, the DPWH recommended to the regional director the termination of the Irisan project along with other four projects covered by MOA with the city by reason of default. Aside from citing the inconsistencies in the billing of items, continuance of the project without variation orders and physical accomplishment of only 78 percent, it also cited reasons based on existing rules and regulations.
Yaranon argued that the mayor, by entering into such agreement to undertake the Irisan project which is normally implemented by the line agencies like the DPWH, has put himself as a trustee of the project and of the funds, thus, a fiduciary relation was created and he has to exercise extraordinary diligence in the implementation of the said project so that public funds will be spent pursuant to law and the MOA and that the desired project should be done pursuant to the project plans and specifications.
She underscored that in the prosecution of the project, the mayor grossly violated the terms of the MOA and has caused undue injury to the government, the DPWH, the city, barangay Irisan and the public who are supposed to benefit pursuant to the timeline of its construction.
The complainant emphasized that Magalong allegedly gave KHATIB Construction unwarranted benefits, advantage or preference in the discharge of his official administrative functions through manifest partiality, evident bad faith and gross inexcusable negligence. He also allegedly deliberately failed to exercise due diligence and efficiency in the prosecution of the project pursuant to the MOA when made aware and appraised of its status, particularly unauthorized variations in the plans, quantity and quality of materials and funding. It resulted to the ultimate failure to deliver completion of the project on time and worst, the reversion to DPWH of the much needed funds.
The mayor allegedly failed to exercise accordingly the slightest caution and care or act on the reported discrepancies which he ought to know or have known being the implementor and signatory to the contract. It was made known to his subordinates and to him personally.
She accused the mayor of having signed the voucher for payment which is tantamount to alleged grave misconduct and malversation by paying the contractor beyond the amount transferred to the city without authority or needed appropriation ordinance from the city council at least in the amount of PhP11.050 million. The mayor allegedly disbursed the said money illegally and obviously to favor the contractor to the damage and prejudice of the city.
In the 6th billing attached to the complaint, said materials were already fully installed but as per observation of the DPWH in a report dated November 7, 2023, there were still inconsistencies in the progress billings, particularly on the reinforcing steel bars grade 60 which was an original quantity.
Yaranon questioned the reduction of the 25mm grade 60 from its original quantity of 158,138.00 kilos to only 60,197.79 kilos when in fact the said original quantity was installed 87 percent as per second billing.
Yaranon alleged that the grave misconduct, gross inexcusable negligence, utter lack of care by the mayor in the faithful implementation of the project as per MOA and management of for the completion of the project resulted to the waste of the DPWH funds which could have been used to complete the project as only PhP32.4 million was downloaded from the budget of PhP50 million or only 64.96 percent utilization only. Contributed article