DOH probes unfinished Hospital Construction in Zamboanga
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The Department of Health (DOH) is currently investigating the incomplete construction of a hospital in the Zamboanga region that remains unused due to unfinished work by contractor St. Timothy Construction, owned by the Discaya family.
In a Senate budget hearing on Wednesday, DOH Secretary Teodoro “Ted” Herbosa confirmed the facility has not served a single patient.
“Hindi pa po nagagamit dahil nga hindi pa tapos (It can’t be used because it has not yet been completed),” Herbosa told Senator Erwin Tulfo during the inquiry.
Tulfo pressed Herbosa on the accountability of both the contractor and government officials potentially involved in alleged collusion.
“Nirelieve niyo na po ba kasi kanina sabi niyo may collusion, may tingin nyo may collusion po between the Discayas at tsaka ilang opisyal po ninyo (Did you relieve anyone because you said there was a collusion, you think there’s a collusion between Dismays and other DOH officials).” the senator asked.
Herbosa responded that no officials have yet been relieved, but an investigation is underway.
“Pinaimbestigahan ko pa lang doon sa (I just ordered an investigation against the) regional director, and of course, may due process. We'll go through all the whole process,” he said, adding that the irregularity came to light during the Senate’s “blue-ray boy” hearings.
When asked if the matter should be referred to the newly formed Independent Commission for Infrastructure (ICI), Herbosa said the department is open to collaboration if the ICI covers all government infrastructure projects.
“Kung kasama ‘yun (If that’s included), it would be nice to help us,” he said.
However, he noted that the DOH already has internal mechanisms and could elevate findings to the Office of the Ombudsman if needed.
St. Timothy Construction, owned by contractor couple, Cezarah and Pacifico Discaya, was awarded the DOH project in the Zamboanga region, but no details were given on the value or timeline of the contract.
Meanwhile, discussions also covered the DOH’s Quick Response Fund (QRF) for 2026, which has been pegged at P500 million.
Herbosa admitted it may not be sufficient amid increasingly frequent natural disasters.
“October pa lang, nasa P199 [million] na. Malapit na maubos (It's only October, and it's already at P199 million. It's almost depleted),” he said.
Tulfo also raised concerns about reduced capital outlay in the proposed 2026 budget despite President Ferdinand Marcos Jr.'s earlier commitments to expand specialty hospitals in the provinces.
He then questioned the Department of Budget and Management’s (DBM) decision to cut funding for health infrastructure, citing the President’s previous State of the Nation Address (SONA) in which he vowed to build specialty hospitals in the provinces.
“Secretary, bakit po binabaan ang capital outlay ninyo ng DBM? Did you ask the DBM, why? Kasi po previous SONA po sinabi ng Pangulo gusto niya na itong mga health heart center, lung center, mga NKTI type of hospitals, lalagyan din po sa probinsya para hindi na pumunta sa Metro Manila. Do we have enough funds for that? Ito po sa plano ng Pangulo, programa ng Pangulo?,” Tulf asked.
Herbosa explained the DOH’s reduced capital outlay under2025 National Expenditure Program (NEP) reflects a strategic shift which aligns with the President’s directive to prioritize public services over infrastructure.
“Ang sinabi sa akin, is that they want less of capital outlay and more on services. So if you notice, ang pinondohan, education, health, and agriculture. So yun ang parang focus nitong NEP nato (The President told me they want less capital outlay and more on services. The budget will instead focus on education, health services, and agriculture),” he said.
Herbosa assured Tulfo that legacy projects, such as heart and lung centers outside Metro Manila, remain ongoing and are being explored through alternative financing, including public-private partnerships (PPPs) and foreign grants.
“He wants more services for the remaining part of his term,” Herbosa added, explaining that large capital projects may not be completed by 2028, citing a proposed heart center in Clark eyed for funding by the United Arab Emirates.
