Reforming infrastructure governance

Reforming infrastructure governance | Daily Tribune

The ongoing investigations by the Senate and the Independent Commission for Infrastructure into the flood-control scam has once again shone the spotlight on the deep cracks in our infrastructure governance.

Ghost projects, overpriced contracts, and the collusion among legislators, DPWH officials, and private contractors reportedly involve hundreds of billions of pesos.

Flood control projects, which are supposed to protect lives and property, have become fertile ground for corruption.

Every peso lost to fraud is a peso denied to communities left vulnerable to climate change and rising flood risks.

Looking abroad, the United States has faced its own share of high-profile scandals.

The Teapot Dome in the 1920s, the “Big Dig” in Boston, and the widespread fraud following Hurricane Katrina.

Their experience offers a sobering lesson that criminal prosecution alone is not enough. Without structural reforms, corruption recurs like clockwork.

So how do we ensure that this flood control scandal will lead to real reforms and not just another cycle of outrage and forgetting?

First, transparency must be the rule, not the exception. Bids, project costs, and contractor track records should be available online, with digital monitoring tools, even blockchain, for fund disbursements. When the information is made public, corruption has less room to hide.

Second, independent oversight is non-negotiable. The US created special inspectors-general for major programs. We should establish a Special Inspector General for Infrastructure (SIGI), with the power to audit big-ticket projects in real time and report its findings directly to Congress, the Ombudsman, and the public.

Third, whistleblowers must be protected and rewarded. Current laws are too weak. If insiders know that reporting anomalies can bring both safety and financial incentives as in the US False Claims Act, we might see fewer coverups and more courageous truth-telling, as the financial incentives in being a whistleblower would be attractive.

Fourth, political accountability cannot stop at the contractor level. If legislators or Cabinet officials benefit from anomalous projects, they must face criminal prosecution, no matter their rank. “No sacred cows” must be more than a slogan. There must be a permanent special team of investigators and prosecutors for big-ticket items, just like the BIR which has a team for large taxpayers.

Fifth, engineering quality must be independently validated. Lives are literally at stake when substandard flood control structures fail. Contractors and engineers alike must be held liable for defective or fraudulent work. The Civil Code provisions on a 15-year warranty must be enforced.

Ultimately, asset recovery must be a top priority. Jail time alone is not enough; the stolen wealth must be recovered and put to work for the people. There is a law, RA 1379 enacted in 1955, that empowers the government to forfeit the wealth of public officials — and their spouses, relatives, and proxies — if their assets are found to be disproportionate to their lawful income, as reflected in tax filings and statements of assets, liabilities and net worth (SALN).

Once a disparity is established, the burden shifts to the official to prove the source of the wealth.

In many cases, ill-gotten gains end up hidden in offshore accounts and luxury real estate. To address this, the Anti-Money Laundering Council and the Department of Justice must be empowered to trace, freeze, and confiscate the assets of guilty officials and contractors.

Recovered wealth should not vanish into the general budget but be funnelled into a Flood Resilience Trust Fund, earmarked exclusively for climate adaptation projects like drainage systems, river defenses, and community relocation.

The Philippines can tap global partners — such as the World Bank, ADB, and the US DoJ’s Kleptocracy Asset Recovery Initiative—to help track down stolen money abroad. This approach mirrors US practice after Hurricane Katrina, when billions lost to fraud were taken back and redirected to disaster recovery programs.

Congress should pass enabling laws for whistleblower incentives, SIGI, and asset recovery. The Executive can begin by issuing executive orders that mandate open contracting and independent engineering reviews. The Judiciary and the DoJ must prioritize plunder and graft cases tied to the flood control scam.

Corruption in flood control projects is not just about money. It is about lives, safety, and the resilience of our nation in the face of climate change. If we let this scandal pass without reform, the real victims will be the Filipino people who continue to be drenched not only by the floods, but by the floodwaters of betrayal.