The Metropolitan Cebu Water District on Tuesday appealed to the local government of Cebu City to pay the P700,000 monthly rentals for the MCWD-owned building now being used as satellite office.

MCWD chairperson Atty. Jose Daluz III told DAILY TRIBUNE that the rent money would have gone to the general fund of the water district, in which the largest allocation is for the purchase of water from its suppliers.

The amount of rent was computed based on the standard set by the Commission on Audit Circular 88-282-A, or the Uniform Standards/Guidelines to Determine the Reasonableness of the Terms and Rental Rates of Lease Contracts for Private or Government Buildings/Spaces.

Daluz also disclosed that other expenditures under their general fund proper are for pipe replacement, repair and expansion and distribution; electricity; personnel expenditure and other operating expenses such as the purchase of office supplies.

The City’s satellite offices — which include the Division for the Welfare of the Urban Poor and the City Hospitalization Assistance Management Program has moved in the building since 21 July 2023 or five months already.

Both the MCWD and Cebu City government has not agreed on the rental as MCWD wanted it at P700,000 monthly but the local government proposed P200,000.

Earlier reports said city administration Atty. Collin Rosell, all offices under the executive department that were housed in the legislative building but are not policy-determining would be transferred to the satellite office.

Rosell told media that if there is ongoing negotiation between the two government entities, the matter should then be settled by representatives of both parties and not through media interviews.

With the non-payment, MCWD was prompted and sent a demand letter to the City to vacate the building within the month of January 2024.