Iligan City terminates P583-M Pala-o market construction deal due to slow progress

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The local government unit here has terminated its contract with a Tacloban City-based contractor for undue delay and its failure to complete on time the construction of the P583-million new public market project in Barangay Pala-o. ManilaBulletin

THE construction of the modern three-story Pala-o Public Market is temporarily stopped following the termination of the contractor's contract effective April 14, 2023 due to undue delays.

The Notice to Proceed was issued to B. M. Marketing on Feb. 20, 2020. The parties stipulated a contract duration of 540 calendar days. B.M. Marketing’s first request for time extension was based on the issuance by then Mayor Regencia of EO No. 32, Series of 2020, regarding the Enhanced Community Quarantine. Its second request for time extension was based on the issuance by the mayor of EO 98, Series of 2020, regarding imposition of the Modified enhanced Community Quarantine.

He said the decision to terminate the contract came after a thorough review and investigation as shown by the foregoing seven requests. Septic tanks, STP, and pumps: The contractor executed changes on the plans without approval of the PIU/CE; the contractor failed to submit a revised plan and an approved variation order for the item of work, causing project delay.

The contractor was unable to submit the mill/manufacturer’s certificate for materials which were not subjected to testing.

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Iligan terminates P600-M market construction deal due to work delaysOfficials say the project is already 65% completed, and the contractor already got paid about half of the P583-million project cost.
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