No contracts for execs’ kin

CEBU, Philippines — The Cebu City Council is now tackling an ordinance proposing to disqualify relatives of public officials, within the fourth civil degree, from entering into any government contract, transaction, or business with the city government.

City Councilor Harry Eran filed this proposed ordinance, citing a provision of the 1987 Philippine Constitution, which declares that a public office is a public trust and that the State shall maintain honesty and integrity in the public service and take positive and effective measures against graft and corruption.

The proposed measure also cites Republic Act No. 6713 (Code of Conduct and Ethical Standards for Public Officials and Employees), which mandates that public officials and employees should avoid conflicts of interest at all times.

It further cites another provision from Republic Act No. 9184, as amended by Republic Act No. 12009, otherwise known as the Government Procurement Reform Act, which requires that all procurement opportunities be made open to all qualified bidders through a transparent and competitive process.

The proposed ordinance raises concerns about the existence of contracts between the city government and relatives of public officials, which creates a clear conflict of interest, undermines public trust, and can lead to perceptions of favoritism, nepotism, and corruption.

Eran, in calling the ordinance as the “Cebu City Anti-Nepotism in Government Contracts Ordinance 2025,” said the policy states that the Cebu City Government shall maintain transparency, accountability, and fairness in all its business transactions.

He added that its aim is also to eliminate conflicts of interest and prevent the misuse of public office for personal gain.

The measure provides that the city prohibits its public officials from having any financial interest, directly or indirectly, in any contract, transaction, or application for any business with the city government involving their relatives.

Under the ordinance’s section on Prohibition and Disqualification, it shall be unlawful for any relative of a public official, within the fourth civil degree of consanguinity or affinity, to directly or indirectly participate in any bidding process or to enter into, apply for, or otherwise be awarded any government contract, transaction, or license with the Cebu City Government.

It adds that any public official who becomes aware that a relative within the prohibited degree is involved in a covered transaction must immediately disclose the relationship in writing to their department head and to the relevant office, such as the Bids and Awards Committee (BAC).

Should the ordinance be violated, those involved will incur criminal liability. It states that any person who willfully violates any provision of this ordinance shall, upon conviction, suffer the penalty of imprisonment for a period of six months to one year and a fine of P5,000.

For administrative and civil liability, it provides that any contract, permit, or license entered into in violation of the ordinance shall be deemed null and void. “All payments made by the city under such void contract shall be refunded to the City Treasury in full,” it states.

It further provides that the relative and any business entity they represent shall be perpetually disqualified from transacting any business with the Cebu City Government.

Meanwhile, any public official found to have violated this ordinance shall be subject to administrative disciplinary action for Grave Misconduct or Gross Neglect of Duty under civil service rules.

This may include suspension or dismissal from service with all its accessory penalties, including perpetual disqualification from public office and forfeiture of benefits. (CEBU NEWS)