FINEX summit for Cebu

The Financial Executives Institute of Cebu (FINEX-CEBU INC.) scheduled a forum in 2020 to get the vision of the local governments of Cebu. This was aborted due to the pandemic but eventually held last November 18. The officers and the members of FINEX-CEBU were sure that the visions of the local governments and private sector leaders of Cebu Province and Cebu’s cities have not dimmed, that the theme of the forum was “Vision for a Stronger Cebu”. Invited were the Cebu governor, the mayors of Cebu City, Lapu-Lapu City, and Mandaue City, presidents and officers of the Cebu and Mandaue Chambers of Commerce and Industry, and representatives from professional and trade associations.

Mandaue Councilor Marie Cortes Zafra enumerated the ongoing programs and projects of Mandaue in the term of Mayor Cortes, which was heavy on improving social services. The hard component projects were the relocation and low-cost housing of the informal settlers, and addressing the environmental consequences of the Butuanon River. They are also continuing to address the flooding problems of Mandaue City, which would involve the unblocking the waterways. In the open forum, it was asked if Mandaue will also implement the three-meter easement along the rivers and waterways. There seem to be no problem in the main river as they have relocated most of the settlers, but they haven’t yet determined the blocked waterways.

Provincial Board Member Soco, representing the Cebu provincial government, highlighted the healthy financial position of the province in terms of resources, revenues, and the annual over ?20 billion budget. Aside from the usual social programs, the province is undertaking major infrastructure projects in roads, bridges, and water supply.

The Metro-Cebu Expressway, a 57-kilometer highway from Naga to Danao, will be implemented faster with the province and the private sector joining with the national government to convert this into a PPP project. Existing provincial roads will also be widened and municipal airports improved. The province will also help the municipal governments in their water supply and distribution systems and have all the provincial hospitals raised to Level 2 category.

In the open forum, the issue of the environmental impact of the infra projects was asked, since the highway will traverse the mountains, and also why government projects take twice as long to build and cost twice as much. The alignment of the roads was originally done by the DPWH which initially funded the project, and presumably had an environmental impact study. The matter of cost will be better controlled when it becomes a PPP project, as the private sector partner will surely want a fair return on investment. On this issue, I opined that the matter of evaluating the financial and performance credentials of the project bidders will ensure that only the reliable contractors will be awarded the projects.

The Cebu City presentation was primarily the CCLEX presented by Engr. Alfon of Metro Pacific. The design, engineering, enhancement, and minimal delay in the delivery even with the pandemic, was discussed together with the economic benefits of the bridge to Cebu City, Cordova, Lapu-Lapu City, and to the province. As to the environmental and social effects of the bridge, Alfon assured that the ecology of the reefs and marine life is reviewed quarterly, and social mitigation were done on the livelihood of the affected fisherfolks. Additional and improved access to the bridge is also forthcoming.

Mayor Rama wrapped up the Cebu City presentation with his vision of a Singapore-like Cebu City that needs the help and cooperation of both the public and private sector.

On the whole, the province and the local government presentations of their existing programs, projects, and continuing visions elicited measured credibility and approval. The project delivery, in terms of time, quality, and its sustainability, will always be an issue. These are matters of good management and good corporate governance that people expect from their national and local governments.