VM Labella Backs Sale of SRP Lot by Public Bidding

Cebu City Vice Mayor Edgardo Labella has said he supports the executive department’s move to sell the 45.2-hectare lot at the city-owned South Road Properties (SRP) through public bidding instead of “unsolicited proposals.”

Labella said he is not amenable to disposing of the lots by inviting investors to submit unsolicited proposals because it is prone to “underground arrangements.”

“Under our system, the bidding should be participative, fair and open to all locators. If it is an unsolicited proposal, it is the investor who identifies the price. It is the investor who sets the requirements. It is also susceptible to underground arrangements,” he said.

Labella, a laywer, invoked Republic Act 9184 or the Government Procurement Reform Act, which requires public bidding to extend equal opportunity among the interested buyers.

He said a public bidding is “more transparent” and the city will get the best deal and best offer.

Labella said unsolicited proposals are only encouraged on programs and projects that need technical expertise or new technology.

He cited as an example the PHP10.6-billion Cebu City Bus Rapid Transit (BRT) project.

“However, the sale of the SRP lots does not require technology or special skills. I subscribe to the view of the mayor that it should be public bidding,” Labella said.

He said City Ordinance (CO) 2332 passed in 2012 only states that the “preferred” mode of disposal for the SRP lots is unsolicited proposal.

He said the sale of the SRP lots through public bidding is covered by an August 2014 resolution passed by the council, authorizing Cebu City Mayor Michael Rama to negotiate and dispose the 45.2-hectare lot through public bidding. (PNA) CTB/EB/PJN