Over P30B wasted on housing projects

MATERIALS used in the housing projects intended for victims of Supertyphoon “Yolanda” like this one in Eastern Samar were substandard, according to a revelation made at a Senate hearing yesterday. CONTRIBUTED PHOTO

“There is a contractor who has a sub-contractor and then there is another sub-contractor.

Sub-contracting and improper location of housing projects wasted more than P30 billion in government funds.

This was revealed during yesterday’s hearing of the Senate Committee on Urban Planning, Housing and Resettlement chaired by Sen. Joseph Victor Ejercito.

Ejercito noted that two sub-contractors admitted to being tapped for government housing projects under the National Housing Authority (NHA).

What this means, he explained, is that lesser funds end up going to the actual construction.

“Just think about this — there is a contractor who has a sub-contractor, and then there is another sub-contractor…it’s three layers, so what will be left of the quality of work on NHA projects?” Ejercito told reporters after the hearing.

“This is one of the (reasons) many housing projects we visited are substandard,” he added.

In his affidavit, Camilo Salazar, a sub-contractor at the NHA project in Barangay Cansumangkay, Balangiga, Eastern Samar, intended for victims of Supertyphoon “Yolanda,” said he was tapped by Mesalina Almazan, a sub-contractor of J.C. Tayag Builder, the general contractor.

Salazar said he was contracted by Almazan in August 2016 for P120,000 per housing unit in the resettlement area. He said he managed to accomplish 40 to 45 percent of the contracted units until the second week of October that year. Almazan, however, failed to settle what was due him.

He also admitted that materials used in the construction provided by J.C. Tayag Builder were substandard.

According to Salazar, he even received threats after junking J.C. Tayag Builder’s attempt to stop him from testifying before the congressional inquiry.

Another sub-contractor, Cesar Baluarte of the C.Q. Baluarte Construction, admitted building units at the Bagong Pagasa Housing Project in Ormoc City in 2016. He said he was not paid what was due him by NHA contractor 3R Metal Craft.

Aside from the multi-layered sub-contracting, Ejercito also cited the improper location of the NHA project in Barangay Andap, New Bataan, Compostela Valley province.

“What is most saddening is the one I visited in Compostela Valley – a relocation site for victims of typhoon ‘Pablo.’ It was at the foot of the mountain…along the danger zone,” said Ejercito.

He said the 300 relocated households now need another relocation due to the risk of landslides.

“They have been victims of a typhoon and relocated, and now they need to be relocated again because they are in the danger zone,” Ejercito lamented.

Such poor planning and implementation of government housing projects, Ejercito said, have resulted in more than P30 billion wasted in government funds.

Ejercito also noted the less than 50 percent occupancy rate of NHA projects for victims of calamities.

“If we sum it up, we spent P66 billion on housing projects for victims of typhoon Yolanda, for Pablo and Sendong and include the Zamboanga City siege, and only 45 percent were completed,” said Ejercito.

Apart from the P66 billion allotted for victims of calamities, Ejercito also cited “failed” housing projects for personnel of the Armed Forces of the Philippines and the Philippine National Police worth P20 billion where only 13 percent were occupied.