Cebu City’s public Wi-Fi project stalled over budget concerns

Cebu City Councilor Nestor Archival. | Photo from Sangguniang Panglungsod secretariat

CEBU CITY, Philippines – A plan to install Wi-Fi in public places in Cebu City risk delays after concerns raised on the project’s P4 million allocation were not properly answered.

During an executive session on Wednesday, August 28, Councilor Nestor Archival, the minority floor leader, questioned the P300,000 allocation for mobilization and demobilization.

Archival expressed his frustration after the project presenters from the Management Information and Computer Services (MICS) failed to explain what it was for.

“Ayaw mi [council] i-blind,” Archival said.

He demanded that the budget proposal be revised and presented in a more organized and structured manner.

The executive session brought together representatives from the Department of Engineering and Public Works (DEPW), Department of Information and Communications Technology (DICT), project contractor Trends and Technologies, Inc., and Dante Arcilla of MICS.

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Public Wi-Fi

Last July 21, the City Council decided to defer action on the proposed allocation for the public Wi-Fi installation project following questions on its P4 million price tag.

Instead, legislators passed a corollary motion to hold an executive session, inviting relevant departments and the contractor to address these concerns.

Questions on the project started after Councilor Jerry Guardo, chairman of the Committee on Infrastructure, introduced to the City Council a draft resolution requesting acting Cebu City Mayor Raymond Alvin Garcia to sign an agreement with Trends and Technologies, Inc. for the installation of outdoor public Wi-Fi access points here.

But many questioned remained unanswered despite the conduct of an executive session on Wednesday.  Discrepancies were also noted in the budget presentation.

In a interview, Archival said that while he supports the plan, he wanted to see a “well-defined objective.”

Inflated mobilization cost

Archival also questioned the “inflated mobilization costs” as he pointed out that the contractor initially requested only P30,000.  To his surprise, the amount was later on increased to P300,000 by MICS.

“Kinsa may makadawat (sa sobra) ana? Unya naa’y uban presyo dagko kaayo,” he added.

He also hinted at possible irregularities in the budget proposal. Archival questioned the entire contract and suggested that the agreement be terminated if the issues raised are not resolved.

“Just imagine, they are asking the council for authority to let the mayor sign the contract. But for me, the contract is irregular,” Archival said.

He emphasized the need for transparency and accuracy in budget proposals, especially when large sums are involved.

No proper bidding

Archival also revealed that there had been instances in the past wherein projects were awarded without proper bidding or a finalized contract.  He cited as an example a recent school painting project.

“Mao nay gihimo nila. Just like katong sa eskwelahan. Naay painting, ila ng gi-award nga wala pay kontrata. Niingon sila nga nagdali daw kay Palaro na. Imo diay i-contract nga walay bidding, or imong i-award, patrabahoan nga walay kontrata?” Archival said.

He said that the council only learned of these practices after the Commission on Audit (COA) released its 2023 audit report highlighting a P1.2 billion drainage project that was awarded without the City Council’s approval.

“Wala man kabalo ang council ana. Pagawas sa COA report, naa’y giaward nga 1.2 billion, unya ila gi-advance payment og P199 million plus pero three years after, walay development. Wala man toy approval sa council,” he further said.

Archival explained that if specific costs are listed in the Annual Investment Plan (AIP), these may no longer require council approval. However, lump-sum amount must be reviewed by the council.

He also noted that while the budget for the public Wi-Fi project is under the MICS, the actual costs wasn’t clearly stated.

Therefore, lump-sum payments for the project should not be made without the council’s approval, even if the project is part of a larger plan that will go through bidding and awarding.